Nasdaq gains 0.61% midday as Cisco drops 8% despite earnings beat

U.S. equities were mixed midway through Thursday trading, with the Nasdaq Composite up 0.61% to 26,749.51, the S&P 500 rising 0.45% to 7,783.09 and the Dow Jones Industrial Average slipping 0.16% to 53,682.87. Real estate shares led sector gains with a 1.2% advance, while energy stocks fell 1%. Cisco Systems shares fell around 8% even after the company posted fourth-quarter fiscal 2026 results above analyst expectations. Revenue came in at $17.25 billion versus estimates of $16.82 billion, while adjusted earnings were $1.22 per share compared with expectations of $1.17. Cisco also guided for fiscal 2027 revenue of $72.2 billion to $73.4 billion, ahead of estimates of $68.69 billion, and forecast full-year adjusted earnings of $5.05 to $5.11 per share versus estimates of $4.80. Among individual movers, Accelerant Holdings jumped 44% to $19.52 after agreeing to be acquired by Thoma Bravo and reporting better-than-expected second-quarter 2026 results. DEFSEC Technologies surged 107% to $2.56 after third-quarter financial results, and FGI Industries climbed 70% to $8.05 after better-than-expected second-quarter adjusted EPS and fiscal 2026 sales guidance with a midpoint above estimates. On the downside, Leslie's fell 39% to $0.81 after weaker-than-expected third-quarter results and the withdrawal of fiscal 2026 guidance. Cellebrite DI dropped 36% to $9.70 after weaker-than-expected second-quarter sales and soft third-quarter sales guidance, while Securitize Corp lost 23% to $6.08 after worse-than-expected quarterly results. In commodities, oil fell 0.9% to $82.57, gold declined 1% to $4,422.60, silver dropped 1.3% to $64.82 and copper eased 0.1% to $6.6115. European markets were mixed, with the STOXX 600 up 0.2%, Spain's IBEX 35 rising 0.4%, Germany's DAX gaining 0.2%, France's CAC 40 slipping 0.1% and London's FTSE 100 down 0.3%. In Asia, Japan's Nikkei 225 rose 1.16%, Hong Kong's Hang Seng fell 0.17%, China's Shanghai Composite declined 0.50% and India's BSE Sensex added 0.15%. Fresh economic data showed the Producer Price Index, or PPI (inflation measure for producers), was unchanged in July, below economists' expectation for a 0.2% monthly rebound after June's upwardly revised 0.1% decline. Initial jobless claims increased by 9,000 to 209,000 in the first week of August, above market estimates of 202,000.

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