Kellanova Target of Unusually High Options Trading (NYSE:K)

Key Points

• Kellanova experienced a significant surge in options trading, with a 773% increase in put options, totaling 23,561 contracts traded on Friday.
• Major shareholder, Kellogg W. K. Foundation Trust, sold 114,599 shares valued at over $9 million, decreasing their ownership to approximately 45 million shares.
• The company announced a quarterly dividend increase to $0.58, raising the annualized yield to 3.0%, with a payout ratio of 60.89%.

Kellanova (NYSE:K - Get Free Report) saw some unusual options trading on Friday. Traders purchased 23,561 put options on the stock. This is an increase of approximately 773% compared to the average volume of 2,699 put options.

Insider Activity

In other Kellanova news, major shareholder Kellogg W. K. Foundation Trust sold 114,599 shares of the company's stock in a transaction on Thursday, August 28th. The stock was sold at an average price of $79.55, for a total value of $9,116,350.45. Following the transaction, the insider owned 45,097,438 shares of the company's stock, valued at approximately $3,587,501,192.90. This represents a 0.25% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders sold a total of 916,680 shares of company stock valued at $73,093,769 over the last quarter. 1.80% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Kellanova

A number of large investors have recently bought and sold shares of the business. Pinnacle Associates Ltd. boosted its holdings in Kellanova by 2.0% in the first quarter. Pinnacle Associates Ltd. now owns 6,373 shares of the company's stock worth $526,000 after purchasing an additional 123 shares in the last quarter. Independent Advisor Alliance lifted its position in Kellanova by 1.8% during the 1st quarter. Independent Advisor Alliance now owns 7,334 shares of the company's stock worth $605,000 after acquiring an additional 131 shares during the last quarter. Sequoia Financial Advisors LLC lifted its position in Kellanova by 1.3% during the 1st quarter. Sequoia Financial Advisors LLC now owns 10,423 shares of the company's stock worth $860,000 after acquiring an additional 132 shares during the last quarter. Cigna Investments Inc. New lifted its position in Kellanova by 5.3% during the 2nd quarter. Cigna Investments Inc. New now owns 2,797 shares of the company's stock worth $222,000 after acquiring an additional 141 shares during the last quarter. Finally, Ethic Inc. lifted its position in Kellanova by 0.9% during the 2nd quarter. Ethic Inc. now owns 17,216 shares of the company's stock worth $1,360,000 after acquiring an additional 150 shares during the last quarter. 83.87% of the stock is currently owned by institutional investors.

Kellanova Stock Up 0.8%

Shares of Kellanova stock traded up $0.60 on Friday, hitting $77.67. 1,122,565 shares of the company traded hands, compared to its average volume of 2,952,810. The company has a 50-day moving average price of $79.45 and a 200 day moving average price of $80.81. The company has a quick ratio of 0.45, a current ratio of 0.68 and a debt-to-equity ratio of 1.03. Kellanova has a 12-month low of $76.48 and a 12-month high of $83.22. The company has a market cap of $27.00 billion, a PE ratio of 20.38, a PEG ratio of 4.79 and a beta of 0.27.

Kellanova (NYSE:K - Get Free Report) last posted its quarterly earnings results on Thursday, July 31st. The company reported $0.94 EPS for the quarter, missing the consensus estimate of $0.99 by ($0.05). The company had revenue of $3.20 billion for the quarter, compared to analysts' expectations of $3.19 billion. Kellanova had a net margin of 10.56% and a return on equity of 32.54%. The company's revenue was up .3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.01 earnings per share. Sell-side analysts predict that Kellanova will post 3.93 earnings per share for the current year.

Kellanova Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 15th. Investors of record on Tuesday, September 2nd were issued a $0.58 dividend. This is a boost from Kellanova's previous quarterly dividend of $0.57. This represents a $2.32 dividend on an annualized basis and a yield of 3.0%. The ex-dividend date was Tuesday, September 2nd. Kellanova's dividend payout ratio is currently 60.89%.

Analyst Ratings Changes

Several equities analysts have weighed in on the stock. Citigroup upgraded shares of Kellanova to a "neutral" rating and set a $83.50 price objective on the stock in a research report on Thursday, May 29th. JPMorgan Chase & Co. assumed coverage on shares of Kellanova in a research report on Wednesday, August 20th. They set a "neutral" rating and a $83.50 price objective on the stock. Finally, Wall Street Zen cut shares of Kellanova from a "hold" rating to a "sell" rating in a research report on Sunday, September 21st. Five analysts have rated the stock with a Hold rating, According to MarketBeat, Kellanova presently has a consensus rating of "Hold" and a consensus price target of $83.38.

Kellanova Company Profile

Kellanova, together with its subsidiaries, manufactures and markets snacks and convenience foods in North America, Europe, Latin America, the Asia Pacific, the Middle East, Australia, and Africa. Its principal products include crackers, crisps, savory snacks, toaster pastries, cereal bars, granola bars and bites, ready-to-eat cereals, frozen waffles, veggie foods, and noodles.

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