Traders Purchase Large Volume of General Electric Call Options (NYSE:GE)

General Electric (NYSE:GE) was the target of some unusual options trading activity on Friday. Traders acquired 49,874 call options on the stock. This represents an increase of approximately 62% compared to the average volume of 30,814 call options.

General Electric Stock Performance

GE stock traded down $3.60 during mid-day trading on Friday, reaching $149.34. The company had a trading volume of 6,183,373 shares, compared to its average volume of 7,958,170. The stock’s 50-day simple moving average is $159.15 and its two-hundred day simple moving average is $134.10. The stock has a market capitalization of $163.27 billion, a P/E ratio of 18.09, a P/E/G ratio of 3.05 and a beta of 1.29. The company has a quick ratio of 0.85, a current ratio of 1.18 and a debt-to-equity ratio of 0.69. General Electric has a one year low of $76.87 and a one year high of $158.68.

General Electric (NYSE:GE) last posted its earnings results on Tuesday, January 23rd. The conglomerate reported $1.03 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.90 by $0.13. General Electric had a net margin of 13.95% and a return on equity of 10.88%. The firm had revenue of $19.42 billion during the quarter, compared to analyst estimates of $17.27 billion. During the same period in the previous year, the business posted $1.24 EPS. General Electric’s revenue was up 15.4% on a year-over-year basis. Research analysts anticipate that General Electric will post 3.78 EPS for the current year.

General Electric Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, April 25th. Investors of record on Monday, April 15th will be given a $0.28 dividend. This is a boost from General Electric’s previous quarterly dividend of $0.08. This represents a $1.12 annualized dividend and a yield of 0.75%. The ex-dividend date of this dividend is Friday, April 12th. General Electric’s dividend payout ratio (DPR) is currently 13.38%.

Insider Activity at General Electric

In related news, SVP Michael J. Holston sold 22,055 shares of the firm’s stock in a transaction dated Wednesday, February 14th. The stock was sold at an average price of $144.87, for a total transaction of $3,195,107.85. Following the sale, the senior vice president now directly owns 56,284 shares in the company, valued at approximately $8,153,863.08. The sale was disclosed in a document filed with the SEC, which is accessible through this link. In related news, SVP Michael J. Holston sold 22,055 shares of the firm’s stock in a transaction on Wednesday, February 14th. The shares were sold at an average price of $144.87, for a total transaction of $3,195,107.85. Following the completion of the sale, the senior vice president now directly owns 56,284 shares of the company’s stock, valued at approximately $8,153,863.08. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, SVP Michael J. Holston sold 13,601 shares of the business’s stock in a transaction on Friday, February 2nd. The stock was sold at an average price of $135.55, for a total transaction of $1,843,615.55. Following the completion of the transaction, the senior vice president now owns 48,339 shares in the company, valued at approximately $6,552,351.45. The disclosure for this sale can be found here. Company insiders own 0.66% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in GE. Halpern Financial Inc. increased its stake in shares of General Electric by 968.4% during the fourth quarter. Halpern Financial Inc. now owns 203 shares of the conglomerate’s stock valued at $25,000 after acquiring an additional 184 shares during the period. Aspect Partners LLC acquired a new stake in General Electric in the fourth quarter worth approximately $25,000. Criterion Capital Advisors LLC bought a new position in General Electric during the 4th quarter valued at $27,000. Dagco Inc. acquired a new position in shares of General Electric during the 4th quarter valued at $27,000. Finally, Hobbs Group Advisors LLC bought a new stake in shares of General Electric in the 4th quarter worth $29,000. Institutional investors and hedge funds own 74.77% of the company’s stock.

Analyst Ratings Changes

A number of equities analysts have issued reports on GE shares. Barclays cut their target price on General Electric from $181.00 to $175.00 and set an “overweight” rating on the stock in a research report on Wednesday, April 3rd. Wells Fargo & Company reduced their price objective on shares of General Electric from $200.00 to $165.00 and set an “overweight” rating on the stock in a research note on Thursday, April 4th. StockNews.com assumed coverage on shares of General Electric in a research report on Saturday, April 13th. They issued a “hold” rating for the company. Royal Bank of Canada reduced their price target on shares of General Electric from $180.00 to $160.00 and set an “outperform” rating on the stock in a research report on Thursday, April 4th. Finally, The Goldman Sachs Group initiated coverage on General Electric in a report on Tuesday, April 9th. They issued a “buy” rating and a $190.00 price objective for the company. Two research analysts have rated the stock with a hold rating and thirteen have issued a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $160.07.

About General Electric

General Electric Company, doing business as GE Aerospace, designs and produces commercial and defense aircraft engines, integrated engine components, electric power, and mechanical aircraft systems. It also offers aftermarket services to support its products. The company operates in the United States, Europe, China, Asia, the Americas, the Middle East, and Africa.