Stock Traders Buy High Volume of Put Options on Expand Energy (NASDAQ:EXE)

Key Points

• Unusual bearish options activity: Traders bought 11,605 put options on Expand Energy, 51% above its typical daily volume, signaling increased demand for downside protection.
• Shares declined 2% to $92.71 despite the company exceeding quarterly earnings and revenue expectations, reporting $1.46 in EPS versus $1.29 expected and $3.29 billion in revenue versus $2.85 billion expected.
• Analyst sentiment remains positive overall: Expand Energy has a “Moderate Buy” consensus rating and an average price target of $123.11. The company also declared a quarterly dividend of $0.575 per share, yielding approximately 2.5% annually.

Expand Energy Corporation (NASDAQ:EXE - Get Free Report) was the recipient of some unusual options trading on Wednesday. Stock traders acquired 11,605 put options on the stock. This is an increase of approximately 51% compared to the typical daily volume of 7,692 put options.

Analyst Ratings Changes

Several research analysts have commented on EXE shares. Barclays dropped their price objective on shares of Expand Energy from $110.00 to $107.00 and set an "equal weight" rating for the company in a research note on Monday, August 17th. The Goldman Sachs Group reissued a "buy" rating and issued a $117.00 target price on shares of Expand Energy in a research note on Tuesday, October 20th. Morgan Stanley lowered their target price on shares of Expand Energy from $129.00 to $124.00 and set an "overweight" rating for the company in a report on Thursday, October 15th. Stifel Nicolaus started coverage on shares of Expand Energy in a research note on Wednesday, September 9th. They set a "buy" rating and a $135.00 price target for the company. Finally, Raymond James Financial cut their price target on shares of Expand Energy from $147.00 to $141.00 and set a "strong-buy" rating on the stock in a report on Monday, October 5th. Three analysts have rated the stock with a Strong Buy rating, fifteen have given a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of "Moderate Buy" and an average price target of $123.11.

Expand Energy Trading Down 2.0%

EXE traded down $1.91 during trading hours on Wednesday, reaching $92.71. 2,436,789 shares of the company's stock traded hands, compared to its average volume of 3,551,688. The firm has a 50-day moving average price of $92.25 and a 200 day moving average price of $96.99. The firm has a market capitalization of $21.46 billion, a PE ratio of 8.01 and a beta of 0.41. The company has a quick ratio of 0.96, a current ratio of 0.96 and a debt-to-equity ratio of 0.19. Expand Energy has a 52-week low of $83.25 and a 52-week high of $126.62.

Expand Energy (NASDAQ:EXE - Get Free Report) last released its earnings results on Tuesday, October 27th. The company reported $1.46 earnings per share for the quarter, topping analysts' consensus estimates of $1.29 by $0.17. Expand Energy had a return on equity of 10.33% and a net margin of 20.46%. The business had revenue of $3.29 billion for the quarter, compared to analyst estimates of $2.85 billion. As a group, sell-side analysts predict that Expand Energy will post 8.59 EPS for the current fiscal year.

Expand Energy Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, December 3rd. Investors of record on Thursday, November 12th will be paid a $0.5750 dividend. This represents a $2.30 annualized dividend and a yield of 2.5%. The ex-dividend date of this dividend is Thursday, November 12th. Expand Energy's dividend payout ratio (DPR) is currently 19.86%.

Institutional Investors Weigh In On Expand Energy

Several large investors have recently added to or reduced their stakes in the stock. Brooklands Fund Management Ltd raised its stake in shares of Expand Energy by 1.5% during the third quarter. Brooklands Fund Management Ltd now owns 134,190 shares of the company's stock valued at $11,284,000 after acquiring an additional 2,000 shares in the last quarter. D.A. Davidson & CO. raised its holdings in shares of Expand Energy by 8.2% in the third quarter. D.A. Davidson & CO. now owns 15,020 shares of the company's stock valued at $1,263,000 after acquiring an additional 1,144 shares in the last quarter. North Dakota State Investment Board raised its holdings in shares of Expand Energy by 1.9% in the third quarter. North Dakota State Investment Board now owns 6,891 shares of the company's stock valued at $579,000 after acquiring an additional 129 shares in the last quarter. VestGen Advisors LLC raised its holdings in shares of Expand Energy by 46.5% in the 3rd quarter. VestGen Advisors LLC now owns 3,963 shares of the company's stock valued at $333,000 after purchasing an additional 1,258 shares in the last quarter. Finally, Park Avenue Securities LLC raised its holdings in shares of Expand Energy by 15.9% in the 3rd quarter. Park Avenue Securities LLC now owns 6,896 shares of the company's stock valued at $580,000 after purchasing an additional 947 shares in the last quarter. 97.93% of the stock is owned by hedge funds and other institutional investors.

Key Expand Energy News

Here are the key news stories impacting Expand Energy this week:

• Positive Sentiment: Q3 earnings and revenue exceeded expectations. Expand Energy reported adjusted earnings of $1.46 per share, up from $0.97 a year earlier and above consensus estimates of approximately $1.28–$1.29. Revenue reached $3.29 billion versus the $2.85 billion estimate, with coverage highlighting the contribution from the Twin Eagle deal. Expand Energy Q3 2026: Twin Eagle Deal Drives an 83% Revenue Beat
• Positive Sentiment: The company maintained its shareholder-return appeal. Expand Energy declared a quarterly dividend of $0.575 per share, payable December 3 to shareholders of record November 12. The dividend represents $2.30 annually and a yield of roughly 2.5%. Expand Energy Corporation Plans to Pay Quarterly Dividend
• Neutral Sentiment: Short-interest data showed no reported shares short. The reported zero short interest implies no measurable short-selling pressure, although the figure may reflect a data or reporting anomaly rather than a meaningful change in investor positioning.
• Negative Sentiment: Investors showed increased demand for downside protection. Trading volume in EXE put options reached 11,605 contracts, 51% above the average of 7,692. This unusual activity may indicate near-term caution despite the earnings beat and could help explain why the stock has decreased.

About Expand Energy

Expand Energy Corporation NASDAQ: EXE is an independent energy company focused on the exploration, development and production of natural gas, crude oil and natural gas liquids in the United States. The company's activities include drilling and operating unconventional oil and gas wells, primarily in major shale formations.

Expand Energy was formed through the combination of Chesapeake Energy Corporation and Southwestern Energy Company, a transaction completed in October 2024. Chesapeake's portfolio included assets in the Marcellus, Haynesville and Eagle Ford shale plays, while Southwestern was also a major operator in the Appalachian and Haynesville regions.

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