Investors Buy Large Volume of Put Options on Vail Resorts (NYSE:MTN)

Vail Resorts, Inc. (NYSE:MTN) saw some unusual options trading on Wednesday. Stock investors bought 3,575 put options on the company. This represents an increase of 85% compared to the typical volume of 1,935 put options.

Vail Resorts Price Performance

Shares of NYSE:MTN opened at $139.85 on Thursday. The stock has a market cap of $5.00 billion, a price-to-earnings ratio of 20.51, a PEG ratio of 10.95 and a beta of 0.81. The company has a debt-to-equity ratio of 5.52, a current ratio of 0.54 and a quick ratio of 0.46. Vail Resorts has a 12 month low of $129.85 and a 12 month high of $191.57. The stock’s 50 day moving average price is $146.69 and its 200 day moving average price is $152.25.

Vail Resorts (NYSE:MTN) last issued its quarterly earnings results on Wednesday, December 10th. The company reported ($5.20) earnings per share (EPS) for the quarter, beating the consensus estimate of ($5.23) by $0.03. The company had revenue of $271.03 million for the quarter, compared to analysts’ expectations of $273.35 million. Vail Resorts had a return on equity of 32.51% and a net margin of 8.94%.The firm’s revenue for the quarter was up 4.1% on a year-over-year basis. During the same period last year, the firm earned ($4.61) EPS. Equities research analysts anticipate that Vail Resorts will post 7.62 earnings per share for the current fiscal year.

Vail Resorts Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, January 12th. Shareholders of record on Tuesday, December 30th will be given a $2.22 dividend. The ex-dividend date is Tuesday, December 30th. This represents a $8.88 annualized dividend and a yield of 6.3%. Vail Resorts’s payout ratio is 130.21%.

Analysts Set New Price Targets

A number of research analysts recently commented on MTN shares. Truist Financial lowered their price objective on Vail Resorts from $244.00 to $237.00 and set a “buy” rating for the company in a research note on Tuesday, September 30th. Stifel Nicolaus reissued a “buy” rating and set a $175.00 price target (down previously from $180.00) on shares of Vail Resorts in a report on Tuesday, September 30th. JPMorgan Chase & Co. increased their price objective on shares of Vail Resorts from $168.00 to $172.00 and gave the stock a “neutral” rating in a report on Thursday, December 11th. Deutsche Bank Aktiengesellschaft set a $169.00 price target on Vail Resorts in a report on Thursday, December 11th. Finally, Bank of America lowered their target price on Vail Resorts from $175.00 to $165.00 and set a “neutral” rating on the stock in a research report on Tuesday, September 30th. Three research analysts have rated the stock with a Buy rating, eight have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus price target of $176.30.

Insider Buying and Selling

In related news, CFO Angela A. Korch bought 210 shares of the stock in a transaction dated Tuesday, October 7th. The stock was bought at an average cost of $155.00 per share, with a total value of $32,550.00. Following the completion of the acquisition, the chief financial officer owned 4,905 shares of the company’s stock, valued at $760,275. This trade represents a 4.47% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. 1.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Vail Resorts

Several hedge funds have recently made changes to their positions in MTN. Bamco Inc. NY increased its stake in Vail Resorts by 4.1% in the 3rd quarter. Bamco Inc. NY now owns 5,702,692 shares of the company’s stock valued at $852,952,000 after buying an additional 227,143 shares during the period. Capital International Investors raised its holdings in shares of Vail Resorts by 1.5% during the third quarter. Capital International Investors now owns 5,002,662 shares of the company’s stock worth $748,248,000 after acquiring an additional 74,528 shares in the last quarter. Capital World Investors boosted its position in Vail Resorts by 67.0% during the third quarter. Capital World Investors now owns 3,013,463 shares of the company’s stock valued at $450,724,000 after purchasing an additional 1,208,874 shares during the last quarter. Charles Schwab Investment Management Inc. grew its stake in Vail Resorts by 2.5% in the second quarter. Charles Schwab Investment Management Inc. now owns 1,320,763 shares of the company’s stock valued at $207,531,000 after purchasing an additional 31,852 shares in the last quarter. Finally, First Pacific Advisors LP grew its stake in Vail Resorts by 23.4% in the second quarter. First Pacific Advisors LP now owns 993,735 shares of the company’s stock valued at $156,146,000 after purchasing an additional 188,151 shares in the last quarter. Institutional investors and hedge funds own 94.90% of the company’s stock.

About Vail Resorts

Vail Resorts, Inc is a leading mountain resort company that owns and operates an integrated network of ski areas, hotels, restaurants and retail outlets. The company’s signature Epic Pass program offers skiers and snowboarders season‐long access to its portfolio of resorts, while ancillary services such as ski and snowboard schools, equipment rental and retail drive additional revenue.

Headquartered in Broomfield, Colorado, Vail Resorts was formed in 1997, building on the legacy of Vail Associates, which opened the Vail ski area in 1962.