Nokia Climbs 7% on Cisco's $15.84B Quarter and Upsized AI Orders
Nokia shares jumped more than 7% after Cisco reported a 12% revenue gain to $15.84 billion and raised AI order forecasts to $9 billion, lifting sector sentiment. Nokia last month increased its AI business market growth target to 27% annually through 2028, up from 16%.
1. Cisco’s Strong Quarter Drives Sector Sentiment
Cisco posted 12% revenue growth to $15.84 billion and net income rose to $3.37 billion, with networking revenue up 25% to $8.82 billion. It also raised its AI infrastructure order forecast to $9 billion and revenue outlook to $4 billion, boosting confidence across networking suppliers.
2. Impact on Nokia Share Performance
Nokia shares surged more than 7% as investors anticipated similar demand for high-speed networking and AI data-center equipment. The rally reflects optimism that Nokia will capture a share of the expanding AI infrastructure market.
3. Nokia’s Raised AI Growth Targets
Last month, Nokia lifted its AI and cloud addressable market growth estimate to 27% annually through 2028, up from a prior 16% forecast. The company highlighted its optical and networking gear as key drivers for AI-driven infrastructure buildouts.