CSCO (Feedback/Notes), S. Korea Tech Exports, NVDA H200 in China?, TSMC Notes, & More—Headline Review (Semis & IT Hardware)

Research evidence excerpt

CSCO (Feedback/Notes), S. Korea Tech Exports, NVDA H200 in China?, TSMC Notes, & More—Headline Review (Semis & IT Hardware)

Equity Research

Flash Comment — May 14, 2026

IT Hardware & Communications Networking

Semiconductors

CSCO (Feedback/Notes), S. Korea Tech

Exports, NVDA H200 in China?, TSMC

Notes, & More—Headline Review (Semis & IT

Hardware)

Our Call Aaron Rakers, CFA

In an effort to try to keep pace with the rapid news flow across our Semiconductor & IT Equity Analyst | Wells Fargo Securities, LLC

Aaron.Rakers@wellsfargo.com | 314-875-2508

Hardware universe, we summarize a few of the key headlines we saw this morning.

Jake Wilhelm, CFA, CPA

Associate Equity Analyst | Wells Fargo Securities, LLC

Initial Thoughts Jake.Wilhelm@wellsfargo.com | 314-875-2502

Michael Tsvetanov, CFA

1. Cisco Quick Follow-Up Notes - A Few Key Themes Resonating Associate Equity Analyst | Wells Fargo Securities, LLC

Michael.Tsvetanov@wellsfargo.com | 314-875-2558

• +4%-6% ex-AI Growth (soft guide) for FY27 Appears Conservative? Investor Richard Strifler, CFA conversations focused on upside to both AI revenue trajectory + this underlying

growth assumption given flow-though impact of pricing actions in orders (+4-5pp Richard.Strifler@wellsfargo.com | 314-875-3234

benefit to +19% y/y ex-AI order growth in F3Q26). We had a few conversations

focused on path to $5.50/sh.+ EPS in FY27. That said, there is a clear focus on demand

pull-forward.

• GM%: As expected, durability of product GM% is key focus going into FY27; CSCO

emphasizing confidence in supply-chain alignment / pricing strategy (less than peers);

increased inventory + purchase commits. Company steadfast in its focus on sustaining

34%-35% EBIT% in FY27.

• Silicon One: Cisco's proliferation / leverage of Silicon One is an advantage from a