Stagwell (NASDAQ:STGW) Stock Sees Unusually High Call Option Buying

Stagwell Inc. (NASDAQ:STGW) was the recipient of some unusual options trading on Tuesday. Stock traders acquired 19,186 call options on the stock. This is an increase of 3,500% compared to the average daily volume of 533 call options.

Stagwell Price Performance

Stagwell stock traded up $0.35 during midday trading on Tuesday, reaching $9.21. 2,236,143 shares of the company were exchanged, compared to its average volume of 1,603,265. The firm’s 50-day simple moving average is $8.68 and its 200-day simple moving average is $7.52. Stagwell has a 1 year low of $4.28 and a 1 year high of $9.64. The company has a market capitalization of $2.25 billion, a price-to-earnings ratio of 153.58 and a beta of 1.30. The company has a debt-to-equity ratio of 2.11, a quick ratio of 0.81 and a current ratio of 0.81.

Stagwell (NASDAQ:STGW) last released its earnings results on Thursday, July 30th. The company reported $0.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.19 by $0.06. The company had revenue of $786.31 million for the quarter, compared to analyst estimates of $754.56 million. Stagwell had a net margin of 0.53% and a return on equity of 27.30%. The firm’s quarterly revenue was up 11.2% on a year-over-year basis. During the same period in the prior year, the firm earned $0.17 EPS. Stagwell has set its FY 2026 guidance at 1.030-1.170 EPS. On average, analysts anticipate that Stagwell will post 0.92 EPS for the current year.

Insider Transactions at Stagwell

In other Stagwell news, insider Frank Lanuto sold 62,000 shares of the business’s stock in a transaction on Friday, July 31st. The stock was sold at an average price of $8.46, for a total transaction of $524,520.00. Following the sale, the insider directly owned 491,977 shares in the company, valued at approximately $4,162,125.42. The trade was a 11.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 11.20% of the company’s stock.

Hedge Funds Weigh In On Stagwell

A number of institutional investors have recently modified their holdings of the company. Integrated Wealth Concepts LLC purchased a new position in shares of Stagwell during the second quarter valued at approximately $52,000. Tidal Investments LLC acquired a new stake in Stagwell during the second quarter worth approximately $117,000. Pictet Asset Management Holding SA grew its stake in Stagwell by 34.7% in the 1st quarter. Pictet Asset Management Holding SA now owns 20,014 shares of the company’s stock worth $126,000 after acquiring an additional 5,155 shares during the period. Headlands Technologies LLC purchased a new stake in Stagwell in the 2nd quarter worth approximately $141,000. Finally, Corient Private Wealth LP purchased a new stake in Stagwell in the 2nd quarter worth approximately $238,000. Institutional investors and hedge funds own 35.61% of the company’s stock.

Analysts Set New Price Targets

A number of research analysts have recently weighed in on STGW shares. Weiss Ratings upgraded Stagwell from a “hold (c-)” rating to a “hold (c)” rating in a research report on Thursday. Needham & Company LLC raised their target price on shares of Stagwell from $8.00 to $10.00 and gave the company a “buy” rating in a report on Thursday, July 30th. B. Riley Financial lifted their target price on shares of Stagwell from $8.00 to $10.00 and gave the stock a “buy” rating in a research report on Friday, July 31st. Wall Street Zen downgraded shares of Stagwell from a “strong-buy” rating to a “buy” rating in a report on Sunday, October 4th. Finally, The Goldman Sachs Group initiated coverage on shares of Stagwell in a report on Monday, October 5th. They issued a “buy” rating and a $13.00 price target on the stock. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, Stagwell presently has a consensus rating of “Moderate Buy” and an average price target of $10.17.

Stagwell Company Profile

Stagwell Inc (NASDAQ: STGW) is a global marketing and communications network that provides services to businesses, government organizations and other institutions. The company combines creative, media, digital transformation, public relations, strategic consulting, consumer insights and data-driven marketing capabilities through a network of specialized agencies.

Its services include brand strategy and development, advertising, media planning and buying, public affairs, corporate communications, public relations, social media, technology consulting, website and product design, customer experience and analytics.