Investors Buy Large Volume of Primo Brands Call Options (NYSE:PRMB)

Primo Brands Corporation (NYSE:PRMB) was the recipient of some unusual options trading activity on Tuesday. Traders bought 13,179 call options on the company. This is an increase of 310% compared to the average volume of 3,218 call options.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of PRMB. Dynamic Technology Lab Private Ltd purchased a new stake in shares of Primo Brands during the first quarter worth approximately $229,000. Caxton Associates LLP acquired a new stake in shares of Primo Brands during the first quarter worth $266,000. Ensign Peak Advisors Inc grew its position in Primo Brands by 11.4% in the 2nd quarter. Ensign Peak Advisors Inc now owns 12,984 shares of the company’s stock valued at $385,000 after buying an additional 1,330 shares during the last quarter. Franklin Resources Inc. increased its stake in Primo Brands by 62.1% in the 2nd quarter. Franklin Resources Inc. now owns 16,090 shares of the company’s stock valued at $477,000 after buying an additional 6,162 shares during the period. Finally, American Century Companies Inc. increased its stake in Primo Brands by 9.3% in the 2nd quarter. American Century Companies Inc. now owns 27,226 shares of the company’s stock valued at $806,000 after buying an additional 2,318 shares during the period. 87.71% of the stock is currently owned by hedge funds and other institutional investors.

Primo Brands Stock Up 2.1%

Shares of NYSE:PRMB opened at $18.85 on Wednesday. Primo Brands has a 1-year low of $14.36 and a 1-year high of $35.85. The company has a debt-to-equity ratio of 1.70, a current ratio of 0.95 and a quick ratio of 0.78. The stock has a market cap of $6.84 billion, a P/E ratio of 125.64, a P/E/G ratio of 1.34 and a beta of 0.61. The firm has a fifty day moving average price of $19.71 and a 200 day moving average price of $19.13.

Primo Brands (NYSE:PRMB) last posted its quarterly earnings data on Thursday, February 26th. The company reported $0.26 EPS for the quarter, beating analysts’ consensus estimates of $0.20 by $0.06. Primo Brands had a net margin of 0.90% and a return on equity of 14.52%. The company had revenue of $1.55 billion for the quarter, compared to analyst estimates of $1.52 billion. During the same period in the previous year, the business posted $0.13 earnings per share. Primo Brands’s quarterly revenue was up 11.2% on a year-over-year basis. Sell-side analysts predict that Primo Brands will post 1.13 EPS for the current year.

Primo Brands Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, March 23rd. Shareholders of record on Friday, March 6th were paid a dividend of $0.12 per share. The ex-dividend date of this dividend was Friday, March 6th. This represents a $0.48 annualized dividend and a yield of 2.5%. This is a boost from Primo Brands’s previous quarterly dividend of $0.10. Primo Brands’s dividend payout ratio (DPR) is currently 266.67%.

Analyst Ratings Changes

PRMB has been the subject of a number of research reports. BMO Capital Markets reissued an “outperform” rating and issued a $35.00 price target on shares of Primo Brands in a research report on Friday, January 23rd. Weiss Ratings raised Primo Brands from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, March 23rd. Morgan Stanley reissued an “overweight” rating on shares of Primo Brands in a report on Monday, January 5th. Zacks Research raised Primo Brands from a “strong sell” rating to a “hold” rating in a research report on Friday, March 6th. Finally, Deutsche Bank Aktiengesellschaft dropped their price target on Primo Brands from $24.00 to $19.00 and set a “hold” rating on the stock in a research note on Monday. Ten investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $26.83.

About Primo Brands

Primo Brands (NYSE: PRMB) is a consumer packaged beverage company that was established as an independent entity following a corporate spin‐off in 2023. The company specializes in the production, marketing and distribution of a broad portfolio of bottled water products, including purified, mineral and sparkling varieties. Through its focus on quality control and innovation, Primo Brands aims to deliver clean, great-tasting water in formats tailored to both at-home consumption and on-the-go lifestyles.

Its product range spans multi-serve and single-serve bottles, aluminum cans and other eco-friendly packaging solutions.