Stock Traders Buy Large Volume of Call Options on Shell (NYSE:SHEL)

Shell PLC Unsponsored ADR (NYSE:SHEL) saw some unusual options trading activity on Thursday. Investors bought 54,278 call options on the stock. This represents an increase of approximately 469% compared to the average volume of 9,541 call options.

Shell Stock Up 0.8%

Shares of SHEL stock traded up $0.74 on Thursday, reaching $98.61. 3,946,645 shares of the company’s stock traded hands, compared to its average volume of 6,851,615. The company has a market capitalization of $282.48 billion, a P/E ratio of 8.56, a price-to-earnings-growth ratio of 0.81 and a beta of 0.07. Shell has a 12-month low of $68.63 and a 12-month high of $109.37. The company has a debt-to-equity ratio of 0.34, a quick ratio of 1.09 and a current ratio of 1.38. The business’s 50 day moving average price is $99.45 and its two-hundred day moving average price is $89.25.

Shell (NYSE:SHEL) last released its quarterly earnings data on Thursday, October 29th. The energy company reported $3.86 earnings per share for the quarter, beating the consensus estimate of $3.60 by $0.26. Shell had a net margin of 9.96% and a return on equity of 16.86%. The firm had revenue of $92.85 billion for the quarter, compared to analyst estimates of $93.25 billion. On average, equities analysts forecast that Shell will post 12.46 earnings per share for the current year.

Shell announced that its Board of Directors has initiated a stock buyback program on Thursday, October 29th that permits the company to repurchase $5 billion in shares. This buyback authorization permits the energy company to buy up to 1.7% of its shares through open market purchases. Stock buyback programs are often a sign that the company’s board of directors believes its stock is undervalued.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the company. Zacks Research upgraded Shell from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, October 6th. Royal Bank Of Canada reaffirmed a “neutral” rating on shares of Shell in a research note on Thursday, October 29th. Erste Group Bank upgraded Shell from a “hold” rating to a “buy” rating in a research report on Thursday, August 27th. JPMorgan Chase & Co. reissued a “buy” rating on shares of Shell in a research note on Wednesday, October 21st. Finally, Jefferies Financial Group restated a “buy” rating on shares of Shell in a research note on Thursday, October 29th. Two analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have assigned a Hold rating to the stock. According to data from MarketBeat.com, Shell currently has an average rating of “Moderate Buy” and a consensus price target of $107.08.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of SHEL. Bank of America Corp DE lifted its stake in Shell by 1.9% in the second quarter. Bank of America Corp DE now owns 7,709,715 shares of the energy company’s stock valued at $597,811,000 after acquiring an additional 146,988 shares during the last quarter. Envestnet Asset Management Inc. increased its stake in shares of Shell by 7.9% during the 2nd quarter. Envestnet Asset Management Inc. now owns 2,352,694 shares of the energy company’s stock worth $182,425,000 after purchasing an additional 171,873 shares during the last quarter. Palogic Value Management L.P. raised its holdings in shares of Shell by 31.4% during the 2nd quarter. Palogic Value Management L.P. now owns 54,698 shares of the energy company’s stock valued at $4,241,000 after purchasing an additional 13,080 shares in the last quarter. IFP Advisors Inc raised its holdings in shares of Shell by 86.6% during the 3rd quarter. IFP Advisors Inc now owns 25,800 shares of the energy company’s stock valued at $2,452,000 after purchasing an additional 11,974 shares in the last quarter. Finally, Diversify Advisory Services LLC acquired a new stake in shares of Shell in the 2nd quarter valued at $854,000. Hedge funds and other institutional investors own 28.60% of the company’s stock.

About Shell

Shell plc is a global energy company engaged in the exploration and production of oil and natural gas, natural gas liquefaction and marketing, and the refining and sale of fuels and other products. Its businesses also include chemicals, power and energy solutions, including lower-carbon offerings such as biofuels, hydrogen and electric-vehicle charging. The company serves customers and operates across regions worldwide. Its products and services reach consumers, businesses and industrial customers through activities such as fuel retailing, natural gas supply, chemicals production and energy trading.