Cisco beat expectations, but Cramer says the drop reflects a familiar pattern
As seen on the 24/7 Wall St. homepage on August 13, 2026.
Cramer is telling holders the 7% premarket drop in Cisco reflects guidance conservatism rather than a broken quarter.
Cisco is much better than expected- and is very conservative at the start of the new fy...always..
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Cisco reported results that came in ahead of expectations, yet shares were down roughly 7% in premarket trading on August 13. Jim Cramer, posting on X, pushed back on the selloff almost immediately after the numbers hit.
Cramer's argument is that Cisco has a well-established habit of issuing conservative guidance at the start of a new fiscal year. In his view, the cautious outlook that rattled investors reflects that seasonal pattern in the company's guidance.
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That framing matters for holders deciding whether to act on the premarket move. If the guidance conservatism is seasonal and structural, the drop overstates the risk.
The post drew replies and likes quickly, suggesting traders were actively debating the read in real time. Whether the market ultimately accepts Cramer's interpretation will show up in how the stock trades once the regular session opens.
Mentioned: CSCO