Form 4: Cisco CFO Richard Scott Herren Sells Shares Under 10b5-1 Plan

Cisco's EVP and CFO, Richard Scott Herren, sold 13,942 shares of common stock at $50 per share on March 11, 2024, under a pre-arranged 10b5-1 trading plan.

Summary

• Richard Scott Herren, the EVP and CFO of Cisco Systems, Inc., sold 13,942 shares of Cisco common stock on March 11, 2024.
• The sale was executed at a price of $50 per share.
• This transaction was conducted under a pre-arranged Rule 10b5-1 trading plan adopted by Mr. Herren on March 23, 2023.
• Following the transaction, Mr. Herren beneficially owns 328,490.801 shares of Cisco common stock.
• The reported holdings include 2,637 dividend equivalents accrued on vested deferred restricted stock units, 2,051 dividend equivalents accrued on unvested deferred restricted stock units, and 8,043 dividend equivalents accrued on unvested restricted stock units.

Sentiment

Score: 5

Explanation: The document is a routine SEC filing related to an executive's stock sale under a pre-arranged plan. It does not indicate any positive or negative sentiment about the company's performance.

Industry Context

This is a routine filing related to insider trading activity. It is common for executives to use 10b5-1 plans to sell shares to avoid accusations of insider trading.

Comparison to Industry Standards

• Executive stock sales under 10b5-1 plans are a common practice among publicly traded companies, including Cisco's peers such as Juniper Networks and Arista Networks.
• The volume of shares sold by Mr. Herren is not unusual for an executive of his level, and the price of $50 per share is consistent with the market price at the time of the transaction.
• Similar filings are regularly made by executives at other tech companies, such as Microsoft and Apple, when they execute trades under their 10b5-1 plans.

Stakeholder Impact

• The stock sale by a high-ranking executive could be perceived negatively by some shareholders, but the pre-arranged nature of the sale mitigates this concern.

Key Dates

Keywords

Cisco, Richard Scott Herren, insider trading, Form 4, 10b5-1 plan, stock sale, executive, CFO, share sale