Traders Purchase Large Volume of Compass Diversified Call Options (NYSE:CODI)

Key Points

• Compass Diversified Holdings experienced a significant increase in call options trading, with 3,415 options purchased on Tuesday, marking a 110% rise from average daily volume.
• Wall Street analysts have mixed views on CODI, with two analysts giving a Buy rating, two a Hold rating, and one a Sell rating, resulting in a consensus rating of "Hold" and an average price target of $26.00.
• Recent institutional investments show confidence, as 72.73% of CODI's stock is now owned by institutional investors, reflecting increased interest in the company.

Compass Diversified Holdings (NYSE:CODI - Get Free Report) saw some unusual options trading on Tuesday. Stock investors purchased 3,415 call options on the stock. This represents an increase of 110% compared to the typical daily volume of 1,628 call options.

Wall Street Analysts Forecast Growth

CODI has been the topic of a number of research analyst reports. Weiss Ratings reiterated a "sell (d+)" rating on shares of Compass Diversified in a report on Wednesday, October 8th. Wall Street Zen downgraded Compass Diversified from a "buy" rating to a "hold" rating in a report on Friday, August 22nd. Two analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $26.00.

Institutional Investors Weigh In On Compass Diversified

Several large investors have recently modified their holdings of CODI. KBC Group NV bought a new stake in shares of Compass Diversified in the 1st quarter valued at approximately $30,000. Nisa Investment Advisors LLC grew its stake in shares of Compass Diversified by 65.3% in the 2nd quarter. Nisa Investment Advisors LLC now owns 5,043 shares of the financial services provider's stock valued at $32,000 after purchasing an additional 1,992 shares during the period. Bessemer Group Inc. bought a new stake in shares of Compass Diversified in the 1st quarter valued at approximately $37,000. Nomura Asset Management Co. Ltd. grew its stake in shares of Compass Diversified by 29.0% in the 2nd quarter. Nomura Asset Management Co. Ltd. now owns 6,548 shares of the financial services provider's stock valued at $41,000 after purchasing an additional 1,471 shares during the period. Finally, State of Wyoming bought a new stake in shares of Compass Diversified in the 1st quarter valued at approximately $51,000. 72.73% of the stock is currently owned by institutional investors.

Compass Diversified Trading Up 3.8%

CODI traded up $0.30 on Tuesday, hitting $8.13. 633,761 shares of the stock traded hands, compared to its average volume of 1,017,345. Compass Diversified has a 52 week low of $5.98 and a 52 week high of $24.32. The firm has a market capitalization of $611.70 million, a PE ratio of -6.35 and a beta of 1.08. The business has a fifty day moving average price of $7.24 and a two-hundred day moving average price of $8.67.

Compass Diversified Company Profile

Compass Diversified is a private equity firm specializing in add on acquisitions, buyouts, industry consolidation, recapitalization, late stage and middle market investments. It seeks to invest in niche industrial or branded consumer companies, manufacturing, distribution, consumer products, business services sector, healthcare, safety & security, electronic components, food and foodservice.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.