Clover Health Investments Sees Unusually High Options Volume (NASDAQ:CLOV)

Clover Health Investments, Corp. (NASDAQ:CLOV) saw some unusual options trading on Monday. Stock investors bought 22,313 put options on the stock. This represents an increase of 36% compared to the typical volume of 16,415 put options.

Clover Health Investments Stock Performance

Shares of NASDAQ CLOV opened at $4.29 on Wednesday. The stock has a market cap of $2.28 billion, a price-to-earnings ratio of -85.78 and a beta of 2.52. Clover Health Investments has a fifty-two week low of $1.58 and a fifty-two week high of $5.59. The firm’s 50-day simple moving average is $4.51 and its 200 day simple moving average is $3.56.

Clover Health Investments (NASDAQ:CLOV) last issued its quarterly earnings data on Wednesday, August 5th. The company reported $0.05 EPS for the quarter, topping analysts’ consensus estimates of $0.04 by $0.01. The firm had revenue of $743.17 million during the quarter, compared to analyst estimates of $728.27 million. Clover Health Investments had a negative return on equity of 4.20% and a negative net margin of 0.74%. On average, sell-side analysts predict that Clover Health Investments will post 0.06 EPS for the current year.

Analyst Upgrades and Downgrades

CLOV has been the topic of a number of research reports. UBS Group upped their target price on Clover Health Investments from $4.75 to $5.00 and gave the stock a “neutral” rating in a research report on Thursday, August 6th. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Clover Health Investments in a research report on Thursday, September 10th. They issued a “buy” rating and a $6.00 price target for the company. Weiss Ratings restated a “sell (d-)” rating on shares of Clover Health Investments in a research note on Monday, September 21st. Wall Street Zen lowered shares of Clover Health Investments from a “strong-buy” rating to a “buy” rating in a research note on Sunday, August 16th. Finally, Canaccord Genuity Group upped their price objective on shares of Clover Health Investments from $4.20 to $5.50 and gave the stock a “buy” rating in a report on Tuesday, July 21st. Three analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $5.00.

Insider Transactions at Clover Health Investments

In related news, CEO Andrew Toy sold 62,176 shares of the company’s stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $4.68, for a total transaction of $290,983.68. Following the transaction, the chief executive officer directly owned 9,078,334 shares of the company’s stock, valued at approximately $42,486,603.12. This represents a 0.68% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Conrad Wai sold 23,627 shares of the stock in a transaction that occurred on Thursday, October 15th. The stock was sold at an average price of $4.68, for a total value of $110,574.36. Following the completion of the transaction, the chief executive officer owned 1,042,072 shares in the company, valued at approximately $4,876,896.96. The trade was a 2.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 856,371 shares of company stock valued at $3,870,740. 23.51% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the stock. Bank of New York Mellon Corp purchased a new position in Clover Health Investments during the 2nd quarter worth $6,346,000. Tidal Investments LLC bought a new stake in shares of Clover Health Investments in the 2nd quarter worth $2,156,000. Lazard Asset Management LLC bought a new stake in shares of Clover Health Investments in the 1st quarter worth $309,000. WINTON GROUP Ltd bought a new position in shares of Clover Health Investments during the second quarter valued at about $913,000. Finally, AXQ Capital LP lifted its position in shares of Clover Health Investments by 602.6% during the second quarter. AXQ Capital LP now owns 146,569 shares of the company’s stock valued at $768,000 after purchasing an additional 125,708 shares in the last quarter. Hedge funds and other institutional investors own 19.77% of the company’s stock.

About Clover Health Investments

Clover Health Investments, Corp. is a health insurance technology company focused on providing Medicare Advantage plans to eligible seniors in the United States. Its plans combine hospital, medical and prescription drug coverage with additional benefits that may vary by plan and location.

The company uses its Clover Assistant technology platform to provide physicians with data-driven insights intended to support clinical decision-making and care coordination. The platform aggregates member health information and helps participating providers identify care opportunities, manage chronic conditions and engage with patients.

Clover Health was founded in 2012 and became a publicly traded company in 2021 through a merger with a special purpose acquisition company.