Unusual Put Option Trade in Newell Brands Worth $243.76K

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On May 2, 2023 at 11:17:50 ET an unusually large $243.76K block of Put contracts in Newell Brands (NWL) was sold, with a strike price of $13.00 / share, expiring in 626 day(s) (on January 17, 2025). Fintel tracks all large options trades, and the premium spent on this trade was 7.60 sigmas above the mean, placing it in the 100.00th percentile of all recent large trades made in NWL options.

This trade was first picked up on Fintel’s real time Options Flow tool, where unusual option trades are highlighted.

What is the Fund Sentiment?

There are 1126 funds or institutions reporting positions in Newell Brands. This is a decrease of 31 owner(s) or 2.68% in the last quarter. Average portfolio weight of all funds dedicated to NWL is 0.17%, an increase of 26.99%. Total shares owned by institutions increased in the last three months by 2.98% to 461,663K shares. The put/call ratio of NWL is 0.45, indicating a bullish outlook.

Analyst Price Forecast Suggests 46.68% Upside

As of April 24, 2023, the average one-year price target for Newell Brands is $15.86. The forecasts range from a low of $11.11 to a high of $21.00. The average price target represents an increase of 46.68% from its latest reported closing price of $10.81.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for Newell Brands is $9,182MM, an increase of 3.45%. The projected annual non-GAAP EPS is $1.50.

What are Other Shareholders Doing?

PRUDENTIAL SERIES FUND – CONSERVATIVE BALANCED PORTFOLIO Class I holds 14K shares representing 0.00% ownership of the company. No change in the last quarter.

POSKX – PRIMECAP Odyssey Stock Fund holds 700K shares representing 0.17% ownership of the company. In it’s prior filing, the firm reported owning 740K shares, representing a decrease of 5.71%. The firm increased its portfolio allocation in NWL by 7.64% over the last quarter.

PACIFIC SELECT FUND – Value Advantage Portfolio Class I holds 307K shares representing 0.07% ownership of the company. In it’s prior filing, the firm reported owning 260K shares, representing an increase of 15.23%. The firm increased its portfolio allocation in NWL by 3.89% over the last quarter.

Amundi holds 539K shares representing 0.13% ownership of the company. In it’s prior filing, the firm reported owning 655K shares, representing a decrease of 21.36%. The firm decreased its portfolio allocation in NWL by 94.62% over the last quarter.

THRIVENT SERIES FUND INC – Thrivent Moderately Aggressive Allocation Portfolio holds 50K shares representing 0.01% ownership of the company. No change in the last quarter.

Newell Brands Declares $0.23 Dividend

On February 2, 2023 the company declared a regular quarterly dividend of $0.23 per share ($0.92 annualized). Shareholders of record as of February 28, 2023 received the payment on March 15, 2023. Previously, the company paid $0.23 per share.

At the current share price of $10.81 / share, the stock’s dividend yield is 8.51%. Looking back five years and taking a sample every week, the average dividend yield has been 4.98%, the lowest has been 3.14%, and the highest has been 8.72%. The standard deviation of yields is 1.25 (n=237).

The current dividend yield is 2.84 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is -2.86. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company has not increased its dividend in the last three years.

Newell Brands Background Information
(This description is provided by the company.)

Newell Brands is a leading global consumer goods company with a strong portfolio of well-known brands, including Rubbermaid®, Paper Mate®, Sharpie®, Dymo®, EXPO®, Parker®, Elmer’s®, Coleman®, Marmot®, Oster®, Sunbeam®,?FoodSaver®, Mr. Coffee®, Rubbermaid Commercial Products®, Graco®, Baby Jogger®, NUK®, Calphalon®, Contigo®, First Alert®, Mapa®,?Spontex® and Yankee Candle®.? Newell Brands is committed to enhancing the lives of consumers around the world with planet friendly, innovative and attractive products that create moments of joy and provide peace of mind.

See all Newell Brands regulatory filings.

This article originally appeared on Fintel

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