Stock Traders Buy High Volume of Call Options on Canaan (NASDAQ:CAN)

Canaan Inc. Sponsored ADR (NASDAQ:CAN - Get Free Report) was the target of unusually large options trading on Monday. Traders acquired 16,718 call options on the stock. This is an increase of approximately 470% compared to the typical daily volume of 2,935 call options.

Institutional Trading of Canaan

A number of hedge funds and other institutional investors have recently made changes to their positions in CAN. Goldman Sachs Group Inc. increased its stake in Canaan by 52.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 587,451 shares of the company's stock worth $516,000 after acquiring an additional 200,869 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its stake in Canaan by 15.4% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,941,515 shares of the company's stock worth $3,460,000 after acquiring an additional 525,772 shares during the last quarter. GMT Capital Corp bought a new position in Canaan in the 1st quarter worth about $86,000. Virtu Financial LLC bought a new position in Canaan in the 1st quarter worth about $320,000. Finally, Invesco Ltd. increased its stake in Canaan by 5,016.8% in the 1st quarter. Invesco Ltd. now owns 7,235,144 shares of the company's stock worth $6,351,000 after acquiring an additional 7,093,743 shares during the last quarter. 70.14% of the stock is currently owned by institutional investors.

Canaan Stock Performance

Shares of NASDAQ:CAN traded up $0.25 during midday trading on Monday, reaching $0.97. 190,324,772 shares of the company traded hands, compared to its average volume of 17,611,997. The company has a quick ratio of 1.11, a current ratio of 1.50 and a debt-to-equity ratio of 0.09. Canaan has a 12 month low of $0.53 and a 12 month high of $3.27. The firm has a market capitalization of $361.90 million, a price-to-earnings ratio of -0.95 and a beta of 3.29. The firm's fifty day moving average price is $0.67 and its two-hundred day moving average price is $1.14.

Canaan announced that its board has initiated a share repurchase plan on Tuesday, May 27th that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the company to repurchase shares of its stock through open market purchases. Stock buyback plans are generally an indication that the company's board believes its stock is undervalued.

Analyst Ratings Changes

CAN has been the topic of a number of recent research reports. Benchmark dropped their price target on Canaan from $3.00 to $2.00 and set a "buy" rating on the stock in a research report on Wednesday, May 21st. Compass Point initiated coverage on Canaan in a research report on Tuesday, March 18th. They set a "buy" rating and a $2.50 price target on the stock. Northland Securities initiated coverage on Canaan in a research report on Wednesday, June 18th. They set a "market perform" rating and a $1.50 price target on the stock. B. Riley dropped their price target on Canaan from $3.00 to $2.00 and set a "buy" rating on the stock in a research report on Thursday. Finally, Wall Street Zen cut Canaan from a "hold" rating to a "sell" rating in a research report on Saturday, June 21st. One analyst has rated the stock with a sell rating, three have assigned a hold rating and five have given a buy rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and a consensus target price of $2.67.

About Canaan

Canaan Inc engages in the research, design, and sale of integrated circuit (IC) final mining equipment products by integrating IC products for bitcoin mining and related components in the People's Republic of China. It is also involved in the assembly and distribution of mining equipment and spare parts.