Compass (NYSE:COMP) Stock Sees Heavy Put Option Buying

Compass, Inc. (NYSE:COMP) saw some unusual options trading on Monday. Investors purchased 5,671 put options on the company. This is an increase of 45% compared to the typical daily volume of 3,898 put options.

Institutional Investors Weigh In On Compass

Institutional investors have recently modified their holdings of the company. IFP Advisors Inc purchased a new stake in Compass during the 2nd quarter worth about $31,000. Reyes Financial Architecture Inc. purchased a new position in Compass during the 3rd quarter worth approximately $35,000. GAMMA Investing LLC increased its holdings in shares of Compass by 57.7% in the 3rd quarter. GAMMA Investing LLC now owns 5,400 shares of the company’s stock valued at $48,000 after acquiring an additional 1,975 shares during the period. Nykredit A S purchased a new position in Compass during the 2nd quarter worth $77,000. Finally, Allworth Financial LP acquired a new position in Compass in the second quarter valued at $110,000. 67.05% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

COMP has been the topic of several research analyst reports. Compass Point set a $11.00 target price on shares of Compass in a research note on Wednesday, October 14th. Zelman & Associates upgraded shares of Compass from a “buy” rating to an “outperform” rating in a research note on Wednesday, October 21st. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and issued a $15.00 price target on shares of Compass in a research report on Wednesday, August 5th. Weiss Ratings lowered Compass from a “hold (c)” rating to a “hold (c-)” rating in a research report on Thursday, October 29th. Finally, Wells Fargo & Company reduced their target price on shares of Compass from $13.00 to $10.00 and set an “equal weight” rating on the stock in a research report on Monday, October 12th. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have given a Hold rating to the company. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $13.21.

Trending Headlines about Compass

Here are the key news stories impacting Compass this week:

• Negative Sentiment: The lawsuit targets former Anywhere shareholders who received Compass stock in the merger and alleges material omissions, including concerning antitrust compliance. Multiple firms are urging affected investors to seek lead-plaintiff status. Kaplan Fox class action notice
• Negative Sentiment: Trading data also showed unusually high put-option activity on Monday: investors bought 5,671 puts, 45% above the average volume. This may indicate increased demand for downside protection, though it does not establish traders’ motives.

Compass Stock Down 1.3%

Shares of NYSE:COMP opened at $9.30 on Wednesday. The business has a 50-day moving average price of $9.83 and a 200 day moving average price of $9.93. The company has a market capitalization of $7.04 billion, a price-to-earnings ratio of 155.00 and a beta of 2.39. Compass has a 12-month low of $6.37 and a 12-month high of $13.95. The company has a current ratio of 1.06, a quick ratio of 1.06 and a debt-to-equity ratio of 1.05.

Compass (NYSE:COMP) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $0.11 EPS for the quarter, topping the consensus estimate of $0.08 by $0.03. The business had revenue of $4.31 billion during the quarter, compared to the consensus estimate of $4.11 billion. Compass had a net margin of 0.63% and a return on equity of 3.62%. Sell-side analysts expect that Compass will post 0.18 EPS for the current year.

About Compass

Compass, Inc is a technology-enabled residential real estate brokerage company that operates in the United States. The company provides services designed to help clients buy, sell, and rent homes, while supporting real estate agents with digital tools and brokerage services.

Its platform includes property search and marketing capabilities, customer relationship management tools, transaction management, and other technologies intended to streamline the real estate process. Compass works with independent agents and brokerage teams, who serve clients across a range of residential markets and property types.

Compass was founded in 2012 by Ori Allon and Robert Reffkin.