Stock Traders Buy Large Volume of Put Options on Jackson Financial (NYSE:JXN)

Key Points

• Unusual options activity: Traders purchased 3,745 put options on Jackson Financial, 572% above the average daily volume of 557 contracts.
• Analyst outlook remains positive: Jackson Financial has a consensus “Moderate Buy” rating and an average price target of $133.80, despite recent insider sales by its CEO and an executive vice president.
• Shares and earnings rose: The stock gained 3.4% to $137.35 after the company reported quarterly earnings of $7.30 per share, beating estimates of $5.72. Jackson also announced a quarterly dividend of $0.90 per share, representing a 2.6% yield.

Jackson Financial Inc. (NYSE:JXN - Get Free Report) was the target of some unusual options trading activity on Wednesday. Stock traders bought 3,745 put options on the stock. This is an increase of 572% compared to the average daily volume of 557 put options.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on the company. Wall Street Zen raised Jackson Financial from a "hold" rating to a "buy" rating in a report on Saturday, August 8th. Keefe, Bruyette & Woods boosted their price objective on Jackson Financial from $130.00 to $140.00 and gave the stock a "market perform" rating in a report on Wednesday, August 5th. Weiss Ratings raised shares of Jackson Financial from a "hold (c-)" rating to a "hold (c)" rating in a research note on Tuesday, August 4th. Barclays upped their price objective on shares of Jackson Financial from $139.00 to $149.00 and gave the company an "overweight" rating in a research note on Tuesday, August 4th. Finally, Jefferies Financial Group raised shares of Jackson Financial from a "hold" rating to a "buy" rating and lifted their target price for the stock from $120.00 to $140.00 in a research report on Friday, July 10th. One research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and four have given a Hold rating to the company. Based on data from MarketBeat, Jackson Financial has a consensus rating of "Moderate Buy" and an average price target of $133.80.

Insider Buying and Selling

In related news, CEO Christopher Raub sold 5,000 shares of the firm's stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $130.69, for a total transaction of $653,450.00. Following the completion of the sale, the chief executive officer directly owned 42,160 shares in the company, valued at approximately $5,509,890.40. This trade represents a 10.60% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, EVP Carrie Chelko sold 7,500 shares of Jackson Financial stock in a transaction that occurred on Wednesday, August 5th. The stock was sold at an average price of $134.24, for a total transaction of $1,006,800.00. Following the completion of the transaction, the executive vice president owned 80,914 shares in the company, valued at approximately $10,861,895.36. This trade represents a 8.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Company insiders own 1.40% of the company's stock.

Hedge Funds Weigh In On Jackson Financial

Hedge funds have recently modified their holdings of the stock. California State Teachers Retirement System boosted its position in Jackson Financial by 9,102.2% during the second quarter. California State Teachers Retirement System now owns 7,427,063 shares of the company's stock valued at $760,457,000 after purchasing an additional 7,346,353 shares during the last quarter. Donald Smith & CO. Inc. acquired a new position in Jackson Financial in the 2nd quarter worth about $183,186,000. Norges Bank purchased a new stake in shares of Jackson Financial during the 4th quarter worth about $129,878,000. Bank of New York Mellon Corp acquired a new stake in shares of Jackson Financial during the 2nd quarter valued at about $66,639,000. Finally, Hsbc Holdings PLC grew its stake in shares of Jackson Financial by 16.5% in the 4th quarter. Hsbc Holdings PLC now owns 1,550,942 shares of the company's stock valued at $166,476,000 after buying an additional 220,095 shares in the last quarter. 89.96% of the stock is owned by institutional investors and hedge funds.

Jackson Financial Stock Up 3.4%

NYSE JXN traded up $4.57 during trading on Wednesday, reaching $137.35. 95,103 shares of the company's stock were exchanged, compared to its average volume of 605,073. The company has a current ratio of 0.26, a quick ratio of 0.26 and a debt-to-equity ratio of 0.53. Jackson Financial has a fifty-two week low of $89.67 and a fifty-two week high of $138.60. The company's fifty day simple moving average is $122.75 and its 200-day simple moving average is $113.52. The firm has a market capitalization of $9.30 billion, a PE ratio of 193.37 and a beta of 1.30.

Jackson Financial (NYSE:JXN - Get Free Report) last issued its earnings results on Monday, August 3rd. The company reported $7.30 earnings per share for the quarter, beating analysts' consensus estimates of $5.72 by $1.58. The company had revenue of $2 billion for the quarter, compared to the consensus estimate of $1.91 billion. Jackson Financial had a return on equity of 18.93% and a net margin of 1.59%.

Jackson Financial Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 24th. Shareholders of record on Tuesday, September 15th will be paid a dividend of $0.90 per share. The ex-dividend date of this dividend is Tuesday, September 15th. This represents a $3.60 dividend on an annualized basis and a dividend yield of 2.6%. Jackson Financial's dividend payout ratio (DPR) is 507.04%.

Jackson Financial Company Profile

Jackson Financial Inc is a U.S.-based financial services holding company headquartered in Lansing, Michigan. The company operates primarily through its principal subsidiary, Jackson National Life Insurance Company, and specializes in designing and distributing retirement products. Jackson Financial has been publicly traded on the New York Stock Exchange under the ticker JXN since its initial public offering in May 2022.

The company's core offerings include a broad range of fixed, variable and indexed annuity products aimed at helping individuals preserve and grow retirement assets.

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