Cisco Systems Sees $3.1M in Unusual Options Activity as a Massive $140 Call Bet Dominates Flow
By TrendSpider Editor
Cisco Systems (CSCO) is drawing significant attention in the options market Wednesday, with three unusual contracts totaling $3,096,080 in combined premium crossing the tape. The headline trade is a $2,535,000 call position at the $140 strike expiring December 2028, representing a bold long-term bul
Cisco Systems Sees $3.1M in Unusual Options Activity as a Massive $140 Call Bet Dominates Flow
Cisco Systems (CSCO) is drawing significant attention in the options market Wednesday, with three unusual contracts totaling $3,096,080 in combined premium crossing the tape. The headline trade is a $2,535,000 call position at the $140 strike expiring December 2028, representing a bold long-term bullish wager well above the current price of $108.48. With CSCO trading within a 52-week range of $66.13 to $130.37, the stock sits in the upper half of its range, and this options activity suggests at least one large player is positioning for a significant breakout above the all-time high.
Key Drivers of the CSCO Stock Move
- Main Catalyst: Three unusual options contracts were flagged on Wednesday totaling $3,096,080 in premium. The dominant trade is a $140 call expiring December 16, 2028, with a size of 1,500 contracts and an open interest ratio of 3,947%, signaling that this position dwarfs existing open interest and is almost certainly a new, deliberate institutional bet.
- Bull Case: The $140 December 2028 call, priced at $2,535,000 in total premium, reflects a conviction trade with a roughly two-year runway. The 3,947% open interest ratio on that strike means the volume was nearly 40 times the existing open interest, a hallmark of fresh, aggressive accumulation. Additionally, a $110 call expiring June 2028 posted a 2,800% OI ratio, reinforcing the bullish skew in the longer-dated flow.
- Bear Case: Not all of Wednesday's unusual activity is bullish. A $110 put expiring October 16, 2026 with 1,000 contracts and $495,000 in premium is currently in the money, with CSCO trading at $108.48. This near-term put position could reflect a hedge against further downside or an outright bearish bet heading into the fall. The stock is already down 1.15% on the session, adding some credibility to the near-term cautious stance embedded in this contract.
The broader setup for Cisco is a study in contrasts. The near-term put flow suggests some traders are bracing for continued pressure over the next six weeks, while the two large call positions reaching out to 2028 reflect a much more optimistic multi-year thesis. Cisco has been navigating a transitional period as it works to grow its software and subscription revenue mix following its major acquisition of Splunk, which closed in March 2024. Investors will be watching upcoming earnings cycles and any commentary around AI-driven networking demand, which has become a key growth narrative for the company. The divergence between short-dated put activity and long-dated call accumulation could reflect institutional players hedging existing long equity positions while simultaneously building speculative upside exposure at the $140 level.
CSCO Unusual Options Activity
Three unusual contracts were flagged on Wednesday, September 2, 2026:
- Call | Strike: $110 | Expiry: June 16, 2028 | Volume: 28 | Open Interest Ratio: 2,800% | Status: OTM | Premium: $66,080
- Put | Strike: $110 | Expiry: October 16, 2026 | Volume: 1,000 | Open Interest Ratio: 15% | Status: ITM | Premium: $495,000
- Call | Strike: $140 | Expiry: December 15, 2028 | Volume: 1,500 | Open Interest Ratio: 3,947% | Status: OTM | Premium: $2,535,000
CSCO Seasonality
September has historically been a volatile month for technology equities, and the presence of a near-dated in-the-money put expiring in October suggests at least one trader is accounting for potential seasonal headwinds over the next several weeks. The long-dated December 2028 calls, however, suggest confidence that any near-term weakness will resolve well before those contracts expire.
CSCO Relative Performance
CSCO is down 1.15% on Wednesday, trading at $108.48. The stock remains well above its 52-week low of $66.13, reflecting strong recovery over the past year, but it has not yet challenged its 52-week high of $130.37. The current session decline positions Cisco as a modest underperformer on the day within the broader technology sector, though its placement in the upper range of its 52-week band indicates the longer-term trend remains constructive relative to where the stock was trading twelve months ago.
More on CSCO
- Cisco Systems Sees Bearish Options Activity as Two Notable Put Contracts Surface Near All-Time Highs
- Cisco Systems Crushes Q4 2026 Estimates With EPS Beat of Nearly 8%, Revenue Tops $17.2 Billion
- Cisco Stock Tumbles 9.43% But Four Analysts Raise Price Targets, Signaling Long-Term Confidence
- Cisco Systems Crushes Q4 2026 Earnings Estimates, But Shares Slide 4.16% After Hours
- Cisco Systems Sees Unusual Bullish Options Activity as Stock Climbs 2% Near 52-Week High
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