Stock Traders Buy Large Volume of Grab Call Options (NASDAQ:GRAB)

Grab Holdings Limited (NASDAQ:GRAB) was the target of some unusual options trading activity on Wednesday. Stock traders acquired 39,023 call options on the stock. This represents an increase of approximately 38% compared to the average volume of 28,379 call options.

Insider Activity at Grab

In other news, insider Chin Ong sold 38,000 shares of the firm’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $3.61, for a total value of $137,180.00. Following the completion of the sale, the insider directly owned 3,670,611 shares of the company’s stock, valued at approximately $13,250,905.71. This trade represents a 1.02% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO Alexander Hungate sold 145,349 shares of Grab stock in a transaction dated Wednesday, September 2nd. The shares were sold at an average price of $3.48, for a total transaction of $505,814.52. Following the sale, the chief operating officer directly owned 6,111,979 shares in the company, valued at $21,269,686.92. The trade was a 2.32% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,763,442 shares of company stock valued at $6,405,495 in the last 90 days. 3.60% of the stock is owned by company insiders.

Institutional Trading of Grab

Several hedge funds have recently modified their holdings of GRAB. Gunpowder Capital Management LLC dba Oliver Wealth Management bought a new position in shares of Grab during the 4th quarter valued at approximately $25,000. Montag A & Associates Inc. purchased a new position in shares of Grab in the first quarter valued at $27,000. Parallel Advisors LLC increased its position in Grab by 305.5% in the fourth quarter. Parallel Advisors LLC now owns 6,107 shares of the company’s stock worth $30,000 after purchasing an additional 4,601 shares during the last quarter. Advocate Investing Services LLC bought a new stake in Grab in the fourth quarter worth $35,000. Finally, Steward Partners Investment Advisory LLC raised its stake in Grab by 128.0% during the fourth quarter. Steward Partners Investment Advisory LLC now owns 7,525 shares of the company’s stock valued at $38,000 after purchasing an additional 4,225 shares in the last quarter. 55.52% of the stock is owned by hedge funds and other institutional investors.

Grab Price Performance

Shares of Grab stock traded down $0.17 during trading on Wednesday, reaching $3.08. 49,065,871 shares of the stock traded hands, compared to its average volume of 48,528,195. The company has a market capitalization of $12.64 billion, a price-to-earnings ratio of 51.59, a P/E/G ratio of 0.90 and a beta of 0.89. The business has a fifty day simple moving average of $3.61 and a two-hundred day simple moving average of $3.68. The company has a debt-to-equity ratio of 0.06, a current ratio of 1.52 and a quick ratio of 1.51. Grab has a 52-week low of $3.07 and a 52-week high of $6.62.

Grab (NASDAQ:GRAB) last posted its earnings results on Tuesday, August 4th. The company reported $0.06 EPS for the quarter, topping analysts’ consensus estimates of $0.05 by $0.01. Grab had a return on equity of 8.83% and a net margin of 15.97%.The company had revenue of $997.00 million for the quarter, compared to the consensus estimate of $994.97 million. Sell-side analysts expect that Grab will post 0.13 EPS for the current year.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on GRAB shares. Weiss Ratings downgraded shares of Grab from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Monday, August 17th. Barclays cut their price objective on Grab from $7.00 to $5.00 and set an “overweight” rating on the stock in a research report on Thursday, July 9th. Morgan Stanley reiterated an “overweight” rating and set a $6.25 target price on shares of Grab in a report on Tuesday, June 30th. Zacks Research raised Grab from a “strong sell” rating to a “hold” rating in a research report on Tuesday, June 2nd. Finally, Benchmark restated a “buy” rating on shares of Grab in a research note on Tuesday, August 4th. One equities research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $6.01.

About Grab

Grab Holdings Inc is a Singapore-based technology company that operates a consumer-facing “super app” across Southeast Asia offering services spanning ride-hailing, food and package delivery, and digital payments. Its platform connects consumers, drivers, merchants and delivery partners through mobile applications and supports on-demand mobility (taxi and private car), last-mile logistics, and on-demand food delivery under brands such as GrabFood and GrabExpress. The company has also developed a merchant-facing ecosystem that supports ordering, payment acceptance and loyalty functions.

Beyond transportation and delivery, Grab has expanded into financial services through Grab Financial Group, which provides digital payments via GrabPay, consumer lending, insurance distribution and small-business financial solutions.