Viavi Executives Keep Selling Shares—Is the Stock in a Short‑Term Trouble?

Insider Selling at Viavi Solutions: What It Means for Shareholders

Recent insider activity has intensified around Viavi Solutions Inc. (NASDAQ: VIVI), with SVP Global Sales NSE Gary W. Staley and several other executives adding to a wave of share sales. The latest transaction on Feb 3, 2026 involved the sale of 20,742 shares at $25.92, bringing Staley’s post‑transaction holding to 182,810 shares.

Implications of the Current Sale

Staley’s sale comes on the heels of a 24.88 % weekly rally that lifted the stock from $25.59 to $25.92. While the price change is negligible, the volume of shares sold—just under 0.4 % of outstanding shares—signals a continuation of the insider‑driven selling trend that has already seen more than 40 % of the company’s market cap exchanged by top executives in the last quarter. For investors, the key question is whether this selling reflects a loss of confidence in near‑term growth or simply a portfolio‑balancing move. The negative social‑media sentiment score of –19, coupled with a 212 % buzz spike, suggests that the market is watching closely; any further insider sales could amplify volatility.

What the Pattern Tells Us About Viavi’s Outlook

Historically, Staley’s transactions have been predominantly sales rather than purchases. In the past year he has sold a combined 88,000 shares, reducing his stake from 234,295 to 182,810 shares. This is consistent with a broader pattern of insider selling across the board—executives such as Paul McNab, Kevin Siebert, and Richard Khaykin have also sold shares at similar price points. Such activity often correlates with earnings expectations or upcoming regulatory approvals. Given Viavi’s negative price‑earnings ratio of –136.2 and the company’s aggressive R&D spend in optical solutions, insiders may be hedging against a possible earnings miss or a slowdown in the communications‑equipment sector.

For long‑term investors, the volume of insider sales should be weighed against Viavi’s strategic initiatives. The company is expanding its testing and analytics services, which could offset short‑term earnings volatility. However, the ongoing insider sell‑off may indicate that executives are preparing for a potential downturn or are reallocating capital to other opportunities.

Profile of Gary W. Staley – A Consistent Seller

Gary W. Staley, SVP Global Sales NSE, has a track record of selling shares at market price levels that closely track the stock’s price movements. His most recent sales on Feb 2 and Feb 3 were executed at $25.85 and $25.82 respectively, slightly below the closing price of $25.59 the prior day. Staley’s holdings have steadily decreased from 234,295 shares in September 2025 to 182,810 shares today, a reduction of approximately 22 %. Unlike some insiders who mix sales with strategic purchases, Staley’s history shows minimal buying activity; his lone purchases in September 2025 were modest (6,604 and 13,685 shares). This pattern suggests a focus on portfolio liquidity rather than long‑term commitment to Viavi.

Investor Takeaway

The recent insider sales, while modest in dollar terms, reflect a broader trend of executive divestiture that could presage a short‑term dip in the stock if the market interprets the activity as a warning sign. Nonetheless, Viavi’s strategic pivot into high‑growth testing solutions and its robust market position in communications equipment may still support a bullish long‑term narrative. Investors should monitor upcoming earnings releases and product‑launch milestones, and consider whether the insider sell‑off is a signal to reassess valuation or a normal cash‑flow management exercise.