Stock Traders Buy High Volume of Somnigroup International Call Options (NYSE:SGI)

Somnigroup International Inc. (NYSE:SGI) saw unusually large options trading on Monday. Investors acquired 4,451 call options on the stock. This is an increase of approximately 92% compared to the average volume of 2,315 call options.

Somnigroup International Trading Up 6.4%

NYSE:SGI traded up $4.06 during trading hours on Monday, hitting $67.62. 974,907 shares of the stock were exchanged, compared to its average volume of 2,753,387. The company has a market capitalization of $14.23 billion, a P/E ratio of 27.00, a price-to-earnings-growth ratio of 1.04 and a beta of 1.30. The company has a quick ratio of 0.37, a current ratio of 0.75 and a debt-to-equity ratio of 1.33. The company’s 50 day moving average is $64.15 and its two-hundred day moving average is $73.88. Somnigroup International has a twelve month low of $60.08 and a twelve month high of $98.56.

Somnigroup International (NYSE:SGI) last released its earnings results on Thursday, August 6th. The company reported $0.58 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.58. Somnigroup International had a return on equity of 19.32% and a net margin of 7.00%. The company had revenue of $1.82 billion during the quarter. During the same quarter in the previous year, the firm earned $0.53 EPS. The company’s revenue was down 3.0% compared to the same quarter last year. Somnigroup International has set its FY 2026 guidance at 2.850-3.150 EPS. On average, sell-side analysts anticipate that Somnigroup International will post 3.10 earnings per share for the current fiscal year.

Somnigroup International Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 3rd. Stockholders of record on Thursday, August 20th were given a dividend of $0.17 per share. The ex-dividend date was Thursday, August 20th. This represents a $0.68 annualized dividend and a dividend yield of 1.0%. Somnigroup International’s payout ratio is currently 27.20%.

Insider Activity

In other news, CEO Scott Thompson bought 30,000 shares of the business’s stock in a transaction that occurred on Thursday, August 27th. The stock was acquired at an average cost of $62.84 per share, for a total transaction of $1,885,200.00. Following the completion of the purchase, the chief executive officer owned 4,123,634 shares of the company’s stock, valued at $259,129,160.56. This trade represents a 0.73% increase in their position. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 3.99% of the company’s stock.

Hedge Funds Weigh In On Somnigroup International

A number of hedge funds and other institutional investors have recently bought and sold shares of SGI. Mather Group LLC. lifted its stake in shares of Somnigroup International by 168.8% in the 3rd quarter. Mather Group LLC. now owns 414 shares of the company’s stock valued at $26,000 after purchasing an additional 260 shares during the period. Salomon & Ludwin LLC boosted its holdings in Somnigroup International by 772.0% during the third quarter. Salomon & Ludwin LLC now owns 436 shares of the company’s stock worth $27,000 after buying an additional 386 shares during the last quarter. SBI Securities Co. Ltd. boosted its holdings in Somnigroup International by 11,900.0% during the third quarter. SBI Securities Co. Ltd. now owns 480 shares of the company’s stock worth $30,000 after buying an additional 476 shares during the last quarter. Signature Equity Partners LLC grew its position in shares of Somnigroup International by 173.1% during the 3rd quarter. Signature Equity Partners LLC now owns 478 shares of the company’s stock worth $30,000 after buying an additional 303 shares during the period. Finally, Allworth Financial LP acquired a new position in shares of Somnigroup International during the 2nd quarter worth about $31,000. 99.86% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

Several equities research analysts have issued reports on the stock. Wall Street Zen raised shares of Somnigroup International from a “sell” rating to a “hold” rating in a report on Saturday, September 5th. Morgan Stanley initiated coverage on Somnigroup International in a report on Monday, July 27th. They set an “overweight” rating and a $95.00 price objective on the stock. Truist Financial dropped their target price on Somnigroup International from $115.00 to $100.00 and set a “buy” rating for the company in a report on Friday, August 7th. UBS Group upped their price target on Somnigroup International from $94.00 to $102.00 and gave the company a “buy” rating in a research report on Thursday, September 3rd. Finally, Piper Sandler reaffirmed an “overweight” rating and issued a $100.00 target price (up from $95.00) on shares of Somnigroup International in a report on Thursday, September 3rd. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, Somnigroup International has an average rating of “Buy” and an average price target of $95.00.

About Somnigroup International

Somnigroup International Inc (NYSE: SGI) is a global bedding and sleep-products company. Its portfolio includes mattresses, pillows, adjustable bases, foundations, bed frames and other sleep-related products sold through retail stores, e-commerce channels and furniture and specialty retailers.

The company’s principal brands include Tempur-Pedic, Sealy and Stearns & Foster. Somnigroup also operates Mattress Firm, a large specialty mattress retailer in the United States, providing consumers with access to a broad range of bedding products from its own brands and other manufacturers.

Somnigroup International was formerly known as Tempur Sealy International.