cable shift trans question

65 Barracuda with floor shifter / cable op.. 904 trans.

The fluid just pours out of the shifter cable outer cover. the cable needs to be replaced for sure, but should the cable have that much trans fluid pushing against it???
I have two '65's. A Dart and a Coronet. Both have the cable shift transmissions. Both have some seepage but no real drips. Have you replaced the "O" ring on the part of the cable that enters the trans?