FirstEnergy Target of Unusually Large Options Trading (NYSE:FE)

by · The Markets Daily

FirstEnergy Corporation (NYSE:FE – Get Free Report) was the recipient of unusually large options trading activity on Friday. Stock investors bought 15,121 put options on the stock. This is an increase of approximately 430% compared to the average daily volume of 2,853 put options.

Hedge Funds Weigh In On FirstEnergy

A number of institutional investors and hedge funds have recently added to or reduced their stakes in FE. Capital World Investors increased its position in shares of FirstEnergy by 0.4% during the third quarter. Capital World Investors now owns 78,328,151 shares of the utilities provider’s stock worth $3,588,992,000 after acquiring an additional 305,531 shares during the last quarter. Vanguard Group Inc. grew its stake in FirstEnergy by 0.5% during the 3rd quarter. Vanguard Group Inc. now owns 67,348,184 shares of the utilities provider’s stock valued at $3,085,894,000 after purchasing an additional 360,098 shares in the last quarter. Boston Partners grew its stake in FirstEnergy by 13.5% during the 3rd quarter. Boston Partners now owns 18,344,403 shares of the utilities provider’s stock valued at $841,161,000 after purchasing an additional 2,185,400 shares in the last quarter. Geode Capital Management LLC increased its holdings in FirstEnergy by 1.1% during the 2nd quarter. Geode Capital Management LLC now owns 13,091,114 shares of the utilities provider’s stock worth $524,764,000 after purchasing an additional 146,742 shares during the last quarter. Finally, Allspring Global Investments Holdings LLC raised its position in shares of FirstEnergy by 2.3% in the 4th quarter. Allspring Global Investments Holdings LLC now owns 9,277,257 shares of the utilities provider’s stock valued at $419,889,000 after purchasing an additional 205,618 shares in the last quarter. 89.41% of the stock is owned by hedge funds and other institutional investors.

FirstEnergy Trading Up 1.6%

NYSE:FE opened at $47.33 on Friday. The business’s 50-day moving average is $45.47 and its two-hundred day moving average is $44.38. The firm has a market capitalization of $27.34 billion, a PE ratio of 20.67, a price-to-earnings-growth ratio of 2.66 and a beta of 0.64. FirstEnergy has a 12 month low of $37.58 and a 12 month high of $48.20. The company has a debt-to-equity ratio of 1.80, a current ratio of 0.75 and a quick ratio of 0.64.

FirstEnergy (NYSE:FE – Get Free Report) last posted its earnings results on Tuesday, October 28th. The utilities provider reported $0.83 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.76 by $0.07. The business had revenue of $4.15 billion during the quarter, compared to analyst estimates of $3.94 billion. FirstEnergy had a return on equity of 11.15% and a net margin of 9.19%.The company’s revenue for the quarter was up 10.8% compared to the same quarter last year. During the same quarter last year, the firm earned $0.85 earnings per share. Research analysts predict that FirstEnergy will post 2.66 earnings per share for the current fiscal year.

FirstEnergy Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Sunday, March 1st. Investors of record on Friday, February 6th will be paid a dividend of $0.445 per share. The ex-dividend date of this dividend is Friday, February 6th. This represents a $1.78 annualized dividend and a yield of 3.8%. FirstEnergy’s payout ratio is 77.73%.

Analysts Set New Price Targets

Several brokerages have recently issued reports on FE. Jefferies Financial Group boosted their price objective on shares of FirstEnergy from $45.00 to $47.00 and gave the company a “hold” rating in a research note on Tuesday, October 21st. Weiss Ratings reissued a “buy (b-)” rating on shares of FirstEnergy in a research report on Monday, December 29th. Mizuho upped their price target on FirstEnergy from $45.00 to $50.00 and gave the stock a “neutral” rating in a research note on Friday, October 24th. Wells Fargo & Company upgraded FirstEnergy to a “strong-buy” rating in a report on Tuesday, October 28th. Finally, Morgan Stanley boosted their target price on FirstEnergy from $47.00 to $50.00 and gave the stock an “overweight” rating in a report on Tuesday, October 21st. One analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, FirstEnergy currently has a consensus rating of “Moderate Buy” and an average price target of $48.75.

Get Our Latest Stock Analysis on FirstEnergy

About FirstEnergy

(Get Free Report)

FirstEnergy Corp. (NYSE: FE) is a U.S.-based electric utility holding company headquartered in Akron, Ohio. The company’s primary business is the delivery of electricity through its regulated transmission and distribution utilities, serving residential, commercial and industrial customers across parts of the Midwest and Mid‑Atlantic. FirstEnergy’s service territory includes states such as Ohio, Pennsylvania, New Jersey, Maryland and West Virginia, and it operates primarily within the PJM regional transmission organization.

FirstEnergy’s core activities center on owning and operating electric distribution networks and transmission systems, maintaining and upgrading grid infrastructure, managing storm response and restoration, and offering customer programs that include energy efficiency and reliability services.

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