Stock Traders Buy High Volume of Call Options on Primo Brands (NYSE:PRMB)

Primo Brands Corporation (NYSE:PRMB) was the recipient of some unusual options trading activity on Monday. Stock traders bought 37,541 call options on the stock. This represents an increase of approximately 757% compared to the average daily volume of 4,382 call options.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Heartland Advisors Inc. boosted its stake in shares of Primo Brands by 96.1% in the fourth quarter. Heartland Advisors Inc. now owns 477,100 shares of the company’s stock valued at $7,801,000 after buying an additional 233,803 shares in the last quarter. One Rock Capital Partners LLC purchased a new position in Primo Brands in the fourth quarter worth $1,900,047,000. Deprince Race & Zollo Inc. purchased a new position in Primo Brands in the fourth quarter worth $11,559,000. KBC Group NV lifted its holdings in Primo Brands by 12.5% in the fourth quarter. KBC Group NV now owns 3,380,056 shares of the company’s stock valued at $55,264,000 after acquiring an additional 376,855 shares during the period. Finally, Aberdeen Group plc acquired a new stake in Primo Brands in the fourth quarter valued at $12,015,000. 87.71% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

Several research analysts have issued reports on PRMB shares. Deutsche Bank Aktiengesellschaft lowered their price objective on shares of Primo Brands from $24.00 to $19.00 and set a “hold” rating on the stock in a research report on Monday, March 30th. Weiss Ratings raised shares of Primo Brands from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, May 11th. JPMorgan Chase & Co. increased their target price on shares of Primo Brands from $26.00 to $29.00 and gave the stock an “overweight” rating in a research note on Thursday, July 16th. Wall Street Zen raised Primo Brands from a “sell” rating to a “hold” rating in a report on Saturday, May 23rd. Finally, Royal Bank Of Canada set a $28.00 price target on Primo Brands in a research report on Thursday, April 9th. Nine investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to MarketBeat.com, Primo Brands has a consensus rating of “Moderate Buy” and an average price target of $26.18.

Primo Brands Price Performance

Shares of NYSE PRMB opened at $24.23 on Tuesday. The company has a debt-to-equity ratio of 1.72, a current ratio of 0.98 and a quick ratio of 0.79. The stock has a fifty day moving average price of $24.04 and a 200 day moving average price of $21.09. Primo Brands has a 1-year low of $14.36 and a 1-year high of $29.23. The company has a market cap of $8.79 billion, a PE ratio of 173.06, a P/E/G ratio of 2.14 and a beta of 0.73.

Primo Brands (NYSE:PRMB) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.23 earnings per share for the quarter, missing analysts’ consensus estimates of $0.24 by ($0.01). The firm had revenue of $1.63 billion during the quarter, compared to analysts’ expectations of $1.58 billion. Primo Brands had a net margin of 0.88% and a return on equity of 13.98%. The business’s quarterly revenue was up .8% on a year-over-year basis. During the same quarter last year, the business earned $0.29 earnings per share. Sell-side analysts forecast that Primo Brands will post 1.25 EPS for the current year.

Primo Brands Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Thursday, June 4th were issued a $0.12 dividend. The ex-dividend date of this dividend was Thursday, June 4th. This represents a $0.48 annualized dividend and a dividend yield of 2.0%. Primo Brands’s payout ratio is presently 342.86%.

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.