Decoding Cisco Systems's Options Activity: What's the Big Picture?

Investors with a lot of money to spend have taken a bearish stance on Cisco Systems CSCO.

And retail traders should know.

We noticed this today when the trades showed up on publicly available options history that we track here at Benzinga.

Whether these are institutions or just wealthy individuals, we don't know. But when something this big happens with CSCO, it often means somebody knows something is about to happen.

So how do we know what these investors just did?

Today, Benzinga's options scanner spotted 19 uncommon options trades for Cisco Systems.

This isn't normal.

The overall sentiment of these big-money traders is split between 36% bullish and 63%, bearish.

Out of all of the special options we uncovered, 6 are puts, for a total amount of $306,490, and 13 are calls, for a total amount of $959,422.

Predicted Price Range

Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $42.5 to $55.0 for Cisco Systems during the past quarter.

Insights into Volume & Open Interest

Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Cisco Systems's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Cisco Systems's substantial trades, within a strike price spectrum from $42.5 to $55.0 over the preceding 30 days.

Cisco Systems Call and Put Volume: 30-Day Overview

Biggest Options Spotted:

About Cisco Systems

Cisco Systems is the largest provider of networking equipment in the world and one of the largest software companies in the world. Its largest businesses are selling networking hardware and software (where it has leading market shares) and cybersecurity software like firewalls. It also has collaboration products, like its Webex suite, and observability tools. It primarily outsources its manufacturing to third parties and has a large sales and marketing staff—25,000 strong across 90 countries. Overall, Cisco employees 80,000 employees and sells its products globally.

Following our analysis of the options activities associated with Cisco Systems, we pivot to a closer look at the company's own performance.

Where Is Cisco Systems Standing Right Now?

• Currently trading with a volume of 7,369,007, the CSCO's price is up by 0.81%, now at $49.33.
• RSI readings suggest the stock is currently may be approaching overbought.
• Anticipated earnings release is in 58 days.

Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.

If you want to stay updated on the latest options trades for Cisco Systems, Benzinga Pro gives you real-time options trades alerts.