"Demand is not as bad as people had thought. After Cisco guided cautiously, people got nervous. Now it appears demand is not as bad," said Wedbush Morgan Securities analyst Kaushik Roy.
Looking at the numbers, the company earned $1.33 a share, beating analyst estimates of $1.27 a share, according to Thomson Reuters.
Revenue rose 8 percent to $33.3 billion, above Wall Street's forecast of $32.75 billion.
The tech giant said it expects its current quarter revenue between $32.8 billion to $33 billion and earnings of $1.28 a share to $1.30 a share, excluding items. Earlier Wall Street consensus was revenue of $32.74 billion and earnings of $1.22 per share.
In addition, the company said it expects 2011 full-year revenue of between $132 billion to $133.5 billion, and earnings of between $5.16 a share and $5.26 a share. Wall Street analysts expected 2011 revenue of $132.4 billion, and earnings of $5.11 a share.
What’s the trade?
At 9 times earnings, I think valuations are extraordinarily compelling, says Guy Adami. I suspect the worst headline risk is now behind this company.
I find the valuation very attractive too, adds Karen Finerman.
I also like this stock, adds Tim Seymour. I think earnings were just what the company needed to deflect attention away from the CEO circus. Now investors can focus on numbers.
I liked hearing that enterprise spending was strong, adds Brian Kelly. I think that's bullish largely and I’m long the XLK.
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Trader disclosure: On November 22, 2010, the day this video was recorded, following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Adami Owns (AGU), (C), (NUE), (MSFT), (INTC), (BTU), (GS); Weiss Owns (MEE), (TSN), (QCOM), (JWN), (UAL), (CYT), (DIS); Weiss Is Short (UNH) Calls; Weiss Is Short (LCRX); Finerman's Firm Is Short (IJR); Finerman's Firm Is Short (MDY); Finerman's Firm Is Short (SPY); Finerman's Firm Is Short (IWM); Finerman's Firm Owns S&P 500 Puts; Finerman's Firm Owns Russell 2000 Puts; Finerman Owns (AAPL); Finerman Owns (BAC); Finerman's Firm Owns (GENZ); Finerman's Firm And Finemran Own (HPQ); Finerman's Firm And Finerman Own (JCG); Finerman's Firm Owns (JPM) Leaps, Finerman Owns (JPM); Finerman's Firm Owns (SKS); Finerman's Firm Owns (TGT); Finerman's Firm Owns (WMT); Seymour Owns (AAPL), (BAC), (INTC), (IPI), (POT), (HPQ); Jon Najarian Owns (SNDK); Jon Najarian Owns (AKAM); Najarian Owns (CRUS), Is Short (CRUS) Calls
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