Investors Purchase High Volume of Call Options on FuelCell Energy (NASDAQ:FCEL)

Key Points

• FuelCell Energy experienced a significant rise in call option purchases, with 19,897 options traded, marking a 463% increase over its average daily volume.
• The company's stock price rose by 22.3%, reaching $5.16, while trading volume soared to over 8 million shares, compared to an average of 1.36 million shares.
• B. Riley revised their price target for FuelCell Energy from $9.00 to $8.00, maintaining a "neutral" rating amid analysts' mixed reviews and a consensus target price of $9.86.

FuelCell Energy, Inc. (NASDAQ:FCEL - Get Free Report) was the recipient of unusually large options trading on Tuesday. Stock investors acquired 19,897 call options on the company. This represents an increase of 463% compared to the typical volume of 3,537 call options.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of FCEL. Banque Cantonale Vaudoise acquired a new position in shares of FuelCell Energy in the 1st quarter valued at $26,000. MinichMacGregor Wealth Management LLC acquired a new position in shares of FuelCell Energy in the 2nd quarter valued at $56,000. Squarepoint Ops LLC acquired a new position in shares of FuelCell Energy in the 4th quarter valued at $99,000. GAMMA Investing LLC boosted its position in FuelCell Energy by 451.5% during the first quarter. GAMMA Investing LLC now owns 12,398 shares of the energy company's stock worth $57,000 after purchasing an additional 10,150 shares in the last quarter. Finally, Bank of America Corp DE boosted its position in FuelCell Energy by 31.9% during the second quarter. Bank of America Corp DE now owns 18,351 shares of the energy company's stock worth $103,000 after purchasing an additional 4,435 shares in the last quarter. 42.78% of the stock is owned by institutional investors and hedge funds.

FuelCell Energy Stock Up 6.3%

NASDAQ:FCEL traded up $0.41 during mid-day trading on Friday, hitting $6.87. 4,659,277 shares of the company's stock traded hands, compared to its average volume of 2,266,692. The company has a fifty day moving average of $4.79 and a 200 day moving average of $4.98. FuelCell Energy has a twelve month low of $3.58 and a twelve month high of $16.09. The company has a market capitalization of $156.57 million, a P/E ratio of -0.75 and a beta of 4.13. The company has a debt-to-equity ratio of 0.21, a quick ratio of 3.82 and a current ratio of 5.37.

FuelCell Energy (NASDAQ:FCEL - Get Free Report) last announced its earnings results on Tuesday, September 9th. The energy company reported ($3.78) earnings per share (EPS) for the quarter, missing the consensus estimate of ($1.59) by ($2.19). The business had revenue of $46.74 million for the quarter, compared to analyst estimates of $48.30 million. FuelCell Energy had a negative net margin of 130.81% and a negative return on equity of 20.53%. During the same period in the prior year, the company earned ($1.94) earnings per share. On average, analysts forecast that FuelCell Energy will post -6.11 EPS for the current year.

Analyst Ratings Changes

Separately, B. Riley decreased their price objective on FuelCell Energy from $9.00 to $8.00 and set a "neutral" rating for the company in a research note on Friday, June 13th. Five equities research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, FuelCell Energy currently has an average rating of "Reduce" and a consensus price target of $9.86.

FuelCell Energy Company Profile

FuelCell Energy, Inc, together with its subsidiaries, manufactures and sells stationary fuel cell and electrolysis platforms that decarbonize power and produce hydrogen. The company provides various configurations and applications of its platform, including on-site power, utility grid support, and microgrid, as well as distributed hydrogen; solid oxide-based electrolysis; solutions for long duration hydrogen-based energy storage and electrolysis technology; and carbon capture, separation, and utilization systems.