Traders Buy Large Volume of Hub Group Call Options (NASDAQ:HUBG)

Key Points

• Unusual options activity: Traders purchased 9,002 Hub Group call options, roughly 1,347% above the typical daily volume of 622 contracts.
• Shares remain under pressure: HUBG rose 0.2% to $26.36, near its 12-month low of $26.22 and well below its 12-month high of $53.26.
• Analyst sentiment is cautious: Hub Group has a consensus “Hold” rating and an average price target of $40.46, while several firms recently maintained neutral or negative views and lowered their targets.

Hub Group, Inc. (NASDAQ:HUBG - Get Free Report) saw some unusual options trading on Thursday. Stock traders acquired 9,002 call options on the stock. This is an increase of approximately 1,347% compared to the typical daily volume of 622 call options.

Hub Group Trading Up 0.2%

Shares of HUBG stock traded up $0.05 during trading hours on Thursday, hitting $26.36. 576,946 shares of the company's stock were exchanged, compared to its average volume of 955,394. The company has a market capitalization of $1.61 billion, a PE ratio of 15.21 and a beta of 1.24. Hub Group has a 12-month low of $26.22 and a 12-month high of $53.26. The business's 50 day simple moving average is $37.15 and its 200-day simple moving average is $40.75.

Hub Group Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Investors of record on Monday, September 21st were issued a dividend of $0.1250 per share. The ex-dividend date of this dividend was Monday, September 21st. This represents a $0.50 annualized dividend and a dividend yield of 1.9%. Hub Group's dividend payout ratio (DPR) is currently 28.90%.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on HUBG. Wells Fargo & Company reissued a "negative" rating and set a $28.00 target price (down from $35.00) on shares of Hub Group in a research report on Tuesday. Barclays set a $30.00 price objective on Hub Group and gave the company an "equal weight" rating in a research note on Monday, September 28th. UBS Group reissued a "neutral" rating on shares of Hub Group in a report on Tuesday, September 15th. JPMorgan Chase & Co. decreased their target price on Hub Group from $50.00 to $46.00 and set a "neutral" rating for the company in a research report on Monday. Finally, Weiss Ratings lowered Hub Group from a "hold (c)" rating to a "hold (c-)" rating in a research note on Monday, September 21st. Five investment analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $40.46.

Institutional Trading of Hub Group

Several hedge funds have recently added to or reduced their stakes in the business. Wellington Management Group LLP grew its stake in shares of Hub Group by 7.1% during the second quarter. Wellington Management Group LLP now owns 7,446,774 shares of the transportation company's stock valued at $326,094,000 after buying an additional 491,130 shares during the last quarter. River Road Asset Management LLC raised its holdings in shares of Hub Group by 6.6% during the fourth quarter. River Road Asset Management LLC now owns 1,320,784 shares of the transportation company's stock valued at $56,279,000 after acquiring an additional 81,764 shares in the last quarter. Bank of America Corp DE boosted its holdings in Hub Group by 8.1% in the first quarter. Bank of America Corp DE now owns 810,131 shares of the transportation company's stock valued at $29,197,000 after acquiring an additional 61,025 shares in the last quarter. Principal Financial Group Inc. increased its position in Hub Group by 2.0% during the 1st quarter. Principal Financial Group Inc. now owns 294,418 shares of the transportation company's stock valued at $10,611,000 after purchasing an additional 5,731 shares during the period. Finally, Edgestream Partners L.P. bought a new position in Hub Group in the 1st quarter worth $8,069,000. 46.77% of the stock is owned by institutional investors.

Hub Group Company Profile

Hub Group, Inc NASDAQ: HUBG is a North American transportation and logistics company headquartered in Oak Brook, Illinois. The company helps businesses move goods through a combination of intermodal, truckload, less-than-truckload, final-mile and other transportation services.

Hub Group's intermodal operations coordinate freight shipments using rail and trucks, while its brokerage business connects shippers with third-party transportation providers. The company also provides dedicated transportation, managed transportation, logistics, warehousing and supply chain solutions designed to support customers' domestic freight and distribution needs.

Founded in 1971, Hub Group serves customers throughout the United States and maintains transportation capabilities extending into Canada and Mexico.

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