MBIA Sees Unusually High Options Volume (NYSE:MBI)

Key Points

• MBIA, Inc. experienced a significant surge in call options trading with 20,144 contracts bought, marking a 7,306% increase over its usual volume of 272 contracts.
• Institutional investors now hold 60.95% of MBIA's stock, with notable purchases made by several firms during the last quarter.
• Keefe, Bruyette & Woods revised their target price for MBIA, lowering it from $9.00 to $8.00, while still maintaining an "outperform" rating.

MBIA, Inc. (NYSE:MBI - Get Free Report) was the target of unusually large options trading on Tuesday. Investors purchased 20,144 call options on the stock. Thisisanincreaseof7,306% compared to the typical volume of 272 call options.

Analyst Ratings Changes

Separately, Keefe, Bruyette & Woods dropped their price target on shares of MBIA from $9.00 to $8.00 and set an "outperform" rating on the stock in a research report on Tuesday, April 29th.

MBIA Stock Performance

Shares of MBI stock traded down $0.32 during trading hours on Thursday, hitting $6.29. 260,378 shares of the company were exchanged, compared to its average volume of 339,642. The company has a 50 day simple moving average of $4.65 and a two-hundred day simple moving average of $5.12. The firm has a market cap of $316.58 million, a P/E ratio of -0.71 and a beta of 1.85. MBIA has a fifty-two week low of $3.22 and a fifty-two week high of $7.46.

MBIA (NYSE:MBI - Get Free Report) last released its quarterly earnings data on Thursday, May 8th. The insurance provider reported ($0.16) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.07) by ($0.09). The firm had revenue of $14.00 million for the quarter, compared to the consensus estimate of $21.00 million. During the same quarter in the previous year, the business earned ($0.52) earnings per share. As a group, sell-side analysts expect that MBIA will post -3.5 EPS for the current fiscal year.

Hedge Funds Weigh In On MBIA

A number of institutional investors have recently modified their holdings of the company. Invesco Ltd. grew its position in MBIA by 7.4% in the 4th quarter. Invesco Ltd. now owns 37,857 shares of the insurance provider's stock worth $245,000 after purchasing an additional 2,613 shares in the last quarter. Wells Fargo & Company MN lifted its holdings in MBIA by 3.0% during the fourth quarter. Wells Fargo & Company MN now owns 140,812 shares of the insurance provider's stock worth $910,000 after acquiring an additional 4,105 shares during the period. Northern Trust Corp boosted its position in MBIA by 1.4% in the fourth quarter. Northern Trust Corp now owns 428,190 shares of the insurance provider's stock worth $2,766,000 after purchasing an additional 5,860 shares during the last quarter. XTX Topco Ltd increased its position in shares of MBIA by 25.5% during the 1st quarter. XTX Topco Ltd now owns 29,528 shares of the insurance provider's stock valued at $147,000 after purchasing an additional 6,001 shares during the last quarter. Finally, Aquatic Capital Management LLC purchased a new position in shares of MBIA in the 4th quarter worth about $50,000. 60.95% of the stock is owned by institutional investors and hedge funds.

MBIA Company Profile

MBIA Inc provides financial guarantee insurance services to public finance markets in the United States. It operates United States (U.S.) Public Finance Insurance, and International and Structured Finance Insurance segments. The company issues financial guarantees for municipal bonds, including tax-exempt and taxable indebtedness of the U.S.