Offerpad Solutions Target of Unusually Large Options Trading (NYSE:OPAD)

Key Points

• Offerpad Solutions Inc. (NYSE:OPAD) experienced a significant increase in call options, with 4,114 options purchased, representing a 328% rise over typical volume.
• Several analysts have downgraded Offerpad, with Goldman Sachs lowering its price target from $2.00 to $1.00 and shifting to a "neutral" rating.
• The company reported a loss of $0.54 EPS for the last quarter, outperforming estimates but falling short on revenue expectations.
• Institutional investors currently hold 39.44% of Offerpad's stock, with notable increases in positions from firms like AQR Capital Management and JPMorgan Chase.

Offerpad Solutions Inc. (NYSE:OPAD - Get Free Report) was the target of some unusual options trading activity on Friday. Investors bought 4,114 call options on the company. This is an increase of 328% compared to the typical volume of 961 call options.

Offerpad Solutions Trading Down 12.5%

Shares of OPAD stock traded down $0.20 during trading hours on Tuesday, hitting $1.43. The company's stock had a trading volume of 487,735 shares, compared to its average volume of 366,832. The company has a 50 day moving average of $1.29 and a 200 day moving average of $1.63. The stock has a market cap of $39.28 million, a PE ratio of -0.66 and a beta of 2.12. Offerpad Solutions has a 12-month low of $0.91 and a 12-month high of $5.13.

Offerpad Solutions (NYSE:OPAD - Get Free Report) last issued its quarterly earnings results on Monday, May 5th. The company reported ($0.54) EPS for the quarter, topping the consensus estimate of ($0.58) by $0.04. Offerpad Solutions had a negative net margin of 7.52% and a negative return on equity of 105.89%. The company had revenue of $160.70 million during the quarter, compared to analyst estimates of $180.51 million. As a group, analysts anticipate that Offerpad Solutions will post -2.16 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the stock. JMP Securities reissued a "market perform" rating on shares of Offerpad Solutions in a research note on Tuesday, May 6th. Keefe, Bruyette & Woods dropped their target price on shares of Offerpad Solutions from $2.25 to $1.00 and set a "market perform" rating for the company in a research report on Wednesday, May 7th. The Goldman Sachs Group dropped their target price on shares of Offerpad Solutions from $2.00 to $1.00 and set a "neutral" rating for the company in a research report on Tuesday, May 6th. Citizens Jmp lowered shares of Offerpad Solutions from an "outperform" rating to a "market perform" rating in a research report on Tuesday, May 6th. Finally, Citigroup lowered shares of Offerpad Solutions to a "market perform" rating in a research report on Tuesday, May 6th. Six analysts have rated the stock with a hold rating, According to MarketBeat, Offerpad Solutions has an average rating of "Hold" and an average target price of $2.38.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of OPAD. JPMorgan Chase & Co. lifted its position in shares of Offerpad Solutions by 161.6% during the fourth quarter. JPMorgan Chase & Co. now owns 28,173 shares of the company's stock worth $80,000 after purchasing an additional 17,404 shares in the last quarter. Northern Trust Corp lifted its position in shares of Offerpad Solutions by 22.1% during the fourth quarter. Northern Trust Corp now owns 95,866 shares of the company's stock worth $273,000 after purchasing an additional 17,322 shares in the last quarter. Jane Street Group LLC acquired a new stake in shares of Offerpad Solutions during the fourth quarter worth about $34,000. Deutsche Bank AG purchased a new stake in shares of Offerpad Solutions during the fourth quarter worth approximately $111,000. Finally, XTX Topco Ltd purchased a new stake in shares of Offerpad Solutions during the first quarter worth approximately $32,000. Institutional investors and hedge funds own 39.44% of the company's stock.

About Offerpad Solutions

Offerpad Solutions Inc, together with its subsidiaries, provides technology-enabled solutions for residential real estate market in the United States. It operates iBuying, a real estate solutions platform for on-demand customer that provides home buyers the opportunity to browse and tour homes online.