Stock Traders Purchase High Volume of Call Options on XP (NASDAQ:XP)

XP Inc. (NASDAQ:XPGet Free Report) was the recipient of some unusual options trading on Tuesday. Stock investors purchased 25,642 call options on the company. This is an increase of 471% compared to the typical volume of 4,494 call options.

Wall Street Analyst Weigh In

XP has been the subject of several research reports. UBS Group raised their price objective on XP from $25.00 to $28.00 and gave the stock a “buy” rating in a research note on Thursday, April 2nd. Weiss Ratings raised XP from a “hold (c)” rating to a “hold (c+)” rating in a research note on Tuesday, May 26th. Finally, Zacks Research lowered XP from a “strong-buy” rating to a “hold” rating in a report on Friday, May 1st. Four analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $23.40.

Read Our Latest Research Report on XP

Institutional Investors Weigh In On XP

Several hedge funds and other institutional investors have recently made changes to their positions in the business. EverSource Wealth Advisors LLC grew its position in XP by 65.4% during the second quarter. EverSource Wealth Advisors LLC now owns 1,634 shares of the company’s stock worth $33,000 after buying an additional 646 shares in the last quarter. FNY Investment Advisers LLC acquired a new stake in XP during the fourth quarter worth about $34,000. Caitong International Asset Management Co. Ltd grew its position in XP by 1,783.3% during the third quarter. Caitong International Asset Management Co. Ltd now owns 2,825 shares of the company’s stock worth $53,000 after buying an additional 2,675 shares in the last quarter. Aster Capital Management DIFC Ltd acquired a new stake in XP during the fourth quarter worth about $55,000. Finally, Parallel Advisors LLC grew its position in XP by 117.3% during the first quarter. Parallel Advisors LLC now owns 3,288 shares of the company’s stock worth $63,000 after buying an additional 1,775 shares in the last quarter. 59.15% of the stock is owned by institutional investors and hedge funds.

XP Stock Down 1.5%

Shares of NASDAQ:XP traded down $0.25 during midday trading on Tuesday, hitting $16.42. 3,824,269 shares of the stock were exchanged, compared to its average volume of 6,138,424. The company has a debt-to-equity ratio of 0.02, a quick ratio of 6.66 and a current ratio of 6.66. XP has a 52-week low of $15.61 and a 52-week high of $23.13. The business’s fifty day simple moving average is $18.77 and its two-hundred day simple moving average is $18.74. The company has a market capitalization of $8.82 billion, a PE ratio of 9.14, a P/E/G ratio of 0.53 and a beta of 1.11.

XP Increases Dividend

The firm also recently announced an annual dividend, which will be paid on Thursday, June 18th. Shareholders of record on Wednesday, June 10th will be given a dividend of $0.20 per share. The ex-dividend date of this dividend is Wednesday, June 10th. This is a positive change from XP’s previous annual dividend of $0.18. This represents a yield of 115.0%. XP’s dividend payout ratio (DPR) is currently 9.94%.

XP declared that its board has approved a stock buyback program on Tuesday, May 19th that allows the company to buyback $0.00 in outstanding shares. This buyback authorization allows the company to repurchase shares of its stock through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

About XP

(Get Free Report)

XP Inc provides financial products and services in Brazil. It offers securities brokerage, private pension plans, commercial, and investment banking products, such as loan operations and transactions in the foreign exchange markets and deposits; product structuring and capital markets services for corporate clients and issuers of fixed income products; advisory services for mass-affluent and institutional clients; and wealth management services for high-net-worth customers and institutional clients.

Further Reading

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