Insider Trading March 12, 2026

Cisco EVP Sells $134K of Stock as Company Posts Strong Quarterly Results

Insider disposal under prearranged plan and a tax-withholding share transfer follow Cisco's fiscal Q2 beat and mixed analyst reactions

By Marcus Reed CSCO
Cisco EVP Sells $134K of Stock as Company Posts Strong Quarterly Results
CSCO

Thimaya K. Subaiya, Executive Vice President of Operations at Cisco Systems, sold 1,744 shares of company stock on March 12, 2026, under a previously established Rule 10b5-1 plan. The transaction, executed at $77.07 per share for $134,410, follows a March 10, 2026 withholding of 1,715.468 shares to cover tax obligations. These moves come as Cisco reported fiscal second-quarter 2026 results that beat expectations on both revenue and adjusted EPS, prompting mixed responses from sell-side firms.

Key Points

  • Cisco EVP Thimaya K. Subaiya sold 1,744 shares on March 12, 2026 at $77.07 under a Rule 10b5-1 plan established March 18, 2025.
  • A separate disposition of 1,715.468 shares on March 10, 2026 at $76.21 was withheld to cover tax liabilities; Subaiya now directly owns 156,693.115 shares including 3,212.419 dividend equivalents.
  • Cisco reported fiscal Q2 2026 adjusted EPS of $1.04 and revenue of $15.3 billion, beating analyst expectations and prompting mixed analyst reactions tied to AI demand, product orders, and margin outlooks.

Thimaya K. Subaiya, Executive Vice President of Operations at Cisco Systems, completed a sale of 1,744 shares of Cisco common stock on March 12, 2026, at a per-share price of $77.07, for total proceeds of $134,410. The trade was carried out under a Rule 10b5-1 plan that Subaiya established on March 18, 2025.

Two days earlier, on March 10, 2026, Subaiya also recorded a disposition of 1,715.468 shares at $76.21 per share. That parcel of shares, valued at $130,735, was withheld specifically to satisfy a tax liability.

After those transactions, Subaiya's direct ownership in Cisco totals 156,693.115 shares. That tally incorporates 3,212.419 dividend equivalents that have accrued on unvested restricted stock units, with each dividend equivalent representing one share of Cisco common stock.

At the time of the March 12 sale, Cisco's market price was trading near $77.74, and the stock has delivered a 32% return over the last 12 months. According to InvestingPro analysis referenced in the filing, the shares currently appear overvalued relative to the service's Fair Value estimate.


Separately, Cisco Systems reported fiscal second-quarter 2026 financial results that exceeded consensus expectations. Adjusted earnings per share came in at $1.04, topping the $1.02 forecast, while revenue reached $15.3 billion versus an anticipated $15.11 billion.

Those results prompted several analyst reactions. UBS raised its price target for Cisco to $95.00 from $90.00 and maintained a Buy rating, citing momentum in AI-related demand and product orders. Bank of America reiterated a Buy rating and highlighted the company's traction in AI and cloud offerings. By contrast, Erste Group moved to downgrade Cisco from Buy to Hold, pointing to concerns about the company's gross margin outlook even as it reiterated positive revenue guidance for fiscal 2026 - with sales expected to be roughly $61.5 billion.

Bank of America also noted a customer shift toward enterprise agreements as organizations increasingly adopt bundled software and service contracts. The bank observed that this transition is supporting broader uptake of Cisco's security product portfolio across its customer base.

Taken together, the insider activity and the company's quarterly report underscore a period of notable activity for Cisco, with management stock movements, analyst reassessments, and shifting customer contract structures occurring in close sequence.

InvestingPro subscribers have access to a detailed Pro Research Report on Cisco, one of over 1,400 U.S. equities covered by the service, along with additional ProTips intended to deepen investment analysis.

Risks

  • Erste Group expressed concern about Cisco's gross margin outlook, which introduces uncertainty for profitability projections - impacting technology and enterprise networking sectors.
  • InvestingPro's Fair Value analysis indicates Cisco shares may be overvalued relative to the service's estimate, creating valuation risk for equity investors in the technology sector.
  • Shifts to enterprise agreements and bundled contracts may alter revenue recognition and margin profiles, posing execution risk as customers adopt bundled software and service contracts.

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