Is Viavi Solutions Stock a Buy or Sell After the CMO Dumped 3,551 Shares?
Key Points
CMO Paul McNab sold 3,551 shares for a transaction value of ~$117,000 on March 2, 2026.
This sale represented 16.33% of Mr. McNab’s direct holdings at the time, reducing direct ownership to 18,198 shares.
All shares sold are held directly; no indirect or derivative positions were reported following the transaction.
The transaction aligns with recent cadence and reflects a consistent wind-down of available capacity, with holdings now at 15.5% of levels held in August 2023.
Paul McNab, EVP, Chief Marketing & Strategy Officer at Viavi Solutions (NASDAQ:VIAV), reported the sale of 3,551 shares of common stock in an open-market transaction on March 2, 2026, according to an SEC Form 4 filing.
Transaction summary
| Metric | Value |
|---|---|
| Shares traded (direct) | 3,551 |
| Transaction value | $116,792.39 |
| Post-transaction shares (direct) | 18,198 |
| Post-transaction value (direct ownership) | $643,299.30 |
Transaction value based on SEC Form 4 reported price ($32.89); post-transaction value based on holdings valued at $643,299.30 using the March 2, 2026 close ($35.35).
Key questions
- How does this transaction compare to Mr. McNab’s historical selling patterns?
Since May of last year, Mr. McNab made six sales with a median size of 4,784 shares; the current sale of 3,551 shares is below this median but in line with the ongoing reduction in available holdings. - What proportion of Mr. McNab’s direct ownership was affected by this sale?
The transaction represented 16.33% of his direct holdings at the time, bringing his position down to 18,198 shares, which is 15.5% of his August 2023 starting balance. - Is there any evidence of indirect or derivative holdings remaining?
No; the filing confirms that all shares traded and retained are held directly, with no indirect or derivative securities reported in this transaction. - What is the market context for this sale?
The trade occurred as Viavi Solutions shares were priced at $32.89 on March 2, 2026, and the one-year total return as of March 1, 2026 was 165.74%, suggesting that the transaction provided liquidity amid elevated stock price levels.
Company overview
| Metric | Value |
|---|---|
| Employees | 3,600 |
| Revenue (TTM) | $1.24 billion |
| Net income (TTM) | ($42.00 million) |
| Price (as of market close March 2, 2026) | $35.35 |
Company snapshot
- Viavi Solutions offers network test, monitoring, and assurance solutions across three segments: Network Enablement, Service Enablement, and Optical Security and Performance Products.
- It generates revenue by providing instruments, software, and services for network design, activation, optimization, and performance management, as well as optical security products.
- The company serves communications service providers, enterprises, network equipment manufacturers, OEMs, government agencies, and avionics customers globally.
Viavi Solutions is a leading provider of network testing and assurance solutions with a global customer base spanning telecom, enterprise, and government sectors. The company leverages a diversified product portfolio and technical expertise to address complex network performance and security needs.
Viavi Solutions' scale and long-standing industry presence support its competitive positioning in the communication equipment market.
What this transaction means for investors
The March 2 sale of 3,551 shares by CMO Paul McNab is not a red flag. He still retained over 18,000 shares in the company after the transaction, suggesting he is not in a rush to dispose of his holdings.
Mr. McNab’s sale came while Viavi Solutions stock was soaring. Shares hit a 52-week high of $35.61 on the day of his transaction, and the rising price was a likely catalyst for the disposition.
The stock is skyrocketing in 2026 with shares up about 85% this year alone through March 3. The recent jump up was driven by Viavi’s March 2 announcement that it successfully demonstrated the use of artificial intelligence on next generation 6G networks. AI has been a driver of sales growth for the company, which led to its rising share price.
However, this has resulted in a price-to-sales ratio exceeding six, which is a multi-year high. This suggests Viavi Solutions stock is expensive, making now a good time to sell for shareholders, but not an ideal moment to invest. Wait for the stock price to drop before deciding to buy.
Robert Izquierdo has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Viavi Solutions. The Motley Fool has a disclosure policy.