Stock Traders Purchase Large Volume of Put Options on Banco Bradesco (NYSE:BBD)

Banco Bradesco S.A. (NYSE:BBD) was the target of unusually large options trading on Monday. Investors purchased 4,509 put options on the stock. This represents an increase of approximately 102% compared to the average daily volume of 2,232 put options.

Institutional Trading of Banco Bradesco

Hedge funds and other institutional investors have recently modified their holdings of the business. ARGA Investment Management LP increased its position in shares of Banco Bradesco by 215.1% during the fourth quarter. ARGA Investment Management LP now owns 82,839,944 shares of the bank’s stock valued at $158,224,000 after acquiring an additional 56,552,808 shares in the last quarter. Massachusetts Financial Services Co. MA increased its holdings in Banco Bradesco by 13.9% in the 4th quarter. Massachusetts Financial Services Co. MA now owns 100,202,214 shares of the bank’s stock worth $191,386,000 after buying an additional 12,236,689 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its stake in Banco Bradesco by 26.2% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 50,826,745 shares of the bank’s stock valued at $97,079,000 after acquiring an additional 10,537,751 shares during the period. Wellington Management Group LLP boosted its holdings in shares of Banco Bradesco by 20.8% during the 4th quarter. Wellington Management Group LLP now owns 56,809,743 shares of the bank’s stock valued at $108,507,000 after acquiring an additional 9,762,964 shares during the last quarter. Finally, Marshall Wace LLP increased its position in Banco Bradesco by 45.4% during the fourth quarter. Marshall Wace LLP now owns 27,742,604 shares of the bank’s stock valued at $52,988,000 after acquiring an additional 8,661,231 shares during the last quarter.

Wall Street Analysts Forecast Growth

Several analysts have recently commented on the stock. HSBC upgraded shares of Banco Bradesco from a “hold” rating to a “buy” rating and set a $2.80 target price for the company in a report on Monday, January 13th. The Goldman Sachs Group cut Banco Bradesco from a “buy” rating to a “sell” rating and lowered their target price for the stock from $2.40 to $2.00 in a research note on Wednesday, February 12th.

Banco Bradesco Trading Down 2.5 %

BBD stock traded down $0.06 during trading on Monday, hitting $2.14. 12,566,327 shares of the company traded hands, compared to its average volume of 30,875,927. The company has a 50-day moving average of $2.13 and a 200-day moving average of $2.23. The company has a debt-to-equity ratio of 2.48, a quick ratio of 0.72 and a current ratio of 1.01. Banco Bradesco has a 1 year low of $1.84 and a 1 year high of $2.97. The firm has a market capitalization of $22.72 billion, a PE ratio of 7.12, a P/E/G ratio of 0.32 and a beta of 0.56.

Banco Bradesco (NYSE:BBD) last issued its earnings results on Friday, February 7th. The bank reported $0.09 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.09. Banco Bradesco had a net margin of 8.46% and a return on equity of 11.43%. Analysts predict that Banco Bradesco will post 0.37 earnings per share for the current fiscal year.

Banco Bradesco Increases Dividend

The business also recently declared a monthly dividend, which will be paid on Friday, November 7th. Investors of record on Wednesday, April 2nd will be given a dividend of $0.0398 per share. The ex-dividend date is Wednesday, April 2nd. This represents a $0.48 annualized dividend and a dividend yield of 22.34%. This is a boost from Banco Bradesco’s previous monthly dividend of $0.00. Banco Bradesco’s payout ratio is currently 43.33%.

Banco Bradesco Company Profile

Banco Bradesco SA, together with its subsidiaries, provides various banking products and services to individuals, corporates, and businesses in Brazil and internationally. The company operates through two segments, Banking and Insurance. It provides current, savings, click, and salary accounts; real estate credit, vehicle financing, payroll loans, mortgage loans, microcredit, leasing, and personal and installment credit; overdraft and agribusiness loans; debit and business cards; financial and security services; consortium products; car, personal accident, dental, travel, and life insurance; investment products; pension products; foreign currency exchange services; capitalization bonds; and internet banking services.