PACS Group Sees Unusually High Options Volume (NYSE:PACS)

Key Points

• PACS Group saw unusually high options activity, with investors purchasing 3,976 call options—298% above its typical volume of 1,000 contracts.
• Analysts remain broadly positive, with five Buy ratings and two Holds producing a consensus “Moderate Buy” rating and an average price target of $58.80.
• The stock rose 3.9% to $42.90 after the company exceeded quarterly expectations, reporting adjusted earnings of $0.63 per share and revenue of $1.43 billion; however, insiders have sold $48.8 million worth of shares over the past 90 days.

PACS Group, Inc. (NYSE:PACS - Get Free Report) saw some unusual options trading on Monday. Investors bought 3,976 call options on the company. This is an increase of 298% compared to the typical volume of 1,000 call options.

Wall Street Analysts Forecast Growth

PACS has been the topic of a number of recent analyst reports. JPMorgan Chase & Co. lifted their price target on shares of PACS Group from $47.00 to $58.00 and gave the stock an "overweight" rating in a research report on Friday, September 4th. Weiss Ratings downgraded PACS Group from a "hold (c+)" rating to a "hold (c)" rating in a research note on Wednesday, August 5th. Truist Financial set a $62.00 price objective on PACS Group in a research note on Wednesday, September 2nd. UBS Group lifted their target price on PACS Group from $57.00 to $60.00 and gave the stock a "buy" rating in a report on Thursday, August 6th. Finally, Wall Street Zen cut PACS Group from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 8th. Five research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $58.80.

Insider Activity

In related news, Director Mark Hancock sold 155,682 shares of the stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $42.47, for a total value of $6,611,814.54. Following the sale, the director directly owned 53,518,884 shares in the company, valued at $2,272,947,003.48. This trade represents a 0.29% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Jason Murray sold 10,529 shares of PACS Group stock in a transaction that occurred on Friday, September 11th. The stock was sold at an average price of $45.23, for a total transaction of $476,226.67. Following the transaction, the chief executive officer directly owned 54,555,566 shares in the company, valued at $2,467,548,250.18. The trade was a 0.02% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,107,655 shares of company stock valued at $48,779,328 in the last ninety days. 70.10% of the stock is owned by insiders.

Institutional Investors Weigh In On PACS Group

Institutional investors have recently bought and sold shares of the company. Financial Management Professionals Inc. raised its holdings in PACS Group by 54.9% during the second quarter. Financial Management Professionals Inc. now owns 663 shares of the company's stock worth $28,000 after acquiring an additional 235 shares in the last quarter. Jacobsen Capital Management grew its stake in PACS Group by 1.6% in the first quarter. Jacobsen Capital Management now owns 18,128 shares of the company's stock valued at $582,000 after purchasing an additional 294 shares in the last quarter. Strategic Advocates LLC grew its stake in PACS Group by 18.5% in the fourth quarter. Strategic Advocates LLC now owns 5,182 shares of the company's stock valued at $203,000 after purchasing an additional 808 shares in the last quarter. Peterson Wealth Services increased its position in shares of PACS Group by 1.6% during the 1st quarter. Peterson Wealth Services now owns 53,672 shares of the company's stock worth $1,724,000 after purchasing an additional 854 shares during the last quarter. Finally, Swiss National Bank increased its position in shares of PACS Group by 1.3% during the 1st quarter. Swiss National Bank now owns 93,000 shares of the company's stock worth $2,987,000 after purchasing an additional 1,200 shares during the last quarter.

PACS Group Stock Up 3.9%

NYSE PACS traded up $1.60 on Monday, reaching $42.90. The company had a trading volume of 275,401 shares, compared to its average volume of 895,913. The company's fifty day moving average is $44.30 and its 200-day moving average is $39.43. The firm has a market capitalization of $6.79 billion, a price-to-earnings ratio of 24.79, a price-to-earnings-growth ratio of 1.29 and a beta of -0.13. The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.91 and a current ratio of 0.91. PACS Group has a 1-year low of $10.31 and a 1-year high of $49.49.

PACS Group (NYSE:PACS - Get Free Report) last released its quarterly earnings results on Tuesday, August 4th. The company reported $0.63 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.54 by $0.09. The firm had revenue of $1.43 billion for the quarter, compared to the consensus estimate of $1.41 billion. PACS Group had a return on equity of 29.55% and a net margin of 4.85%. On average, research analysts forecast that PACS Group will post 2.13 earnings per share for the current fiscal year.

PACS Group Company Profile

PACS Group, Inc is a U.S. healthcare services company that operates skilled nursing and post-acute care facilities. Its facilities provide short-term rehabilitation, long-term skilled nursing, nursing care, and related clinical services for patients recovering from illness, injury, surgery, or hospitalization.

The company's broader care offerings may include assisted living, memory care, behavioral health, and other specialized post-acute services, depending on the facility and market.

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