Unusual Put Option Trade in Goldman Sachs Worth $652.5K

On May 5, 2023 at 15:45:13 ET an unusually large $652.50K block of Put contracts in Goldman Sachs Group (GS) was sold, with a strike price of $340.00 / share, expiring in 0 day(s) (on May 5, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 2.49 sigmas above the mean, placing it in the 99.42th percentile of all recent large trades made in GS 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 2856 funds or institutions reporting positions in Goldman Sachs Group. This is an increase of 93 owner(s) or 3.37% in the last quarter. Average portfolio weight of all funds dedicated to GS is 0.66%, an increase of 19.33%. Total shares owned by institutions increased in the last three months by 1.75% to 275,489K shares. The put/call ratio of GS is 1.35, indicating a bearish outlook.

Analyst Price Forecast Suggests 22.97% Upside

As of April 24, 2023, the average one-year price target for Goldman Sachs Group is 395.05. The forecasts range from a low of 333.30 to a high of $493.50. The average price target represents an increase of 22.97% from its latest reported closing price of 321.26.

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

The projected annual revenue for Goldman Sachs Group is 52,341MM, an increase of 17.16%. The projected annual non-GAAP EPS is 38.63.

What are Other Shareholders Doing?

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 9,442K shares representing 2.83% ownership of the company. In it’s prior filing, the firm reported owning 9,554K shares, representing a decrease of 1.18%. The firm increased its portfolio allocation in GS by 6.94% over the last quarter.

Price T Rowe Associates holds 9,141K shares representing 2.74% ownership of the company. In it’s prior filing, the firm reported owning 9,478K shares, representing a decrease of 3.68%. The firm increased its portfolio allocation in GS by 10.62% over the last quarter.

VFINX – Vanguard 500 Index Fund Investor Shares holds 7,178K shares representing 2.15% ownership of the company. In it’s prior filing, the firm reported owning 7,258K shares, representing a decrease of 1.12%. The firm increased its portfolio allocation in GS by 6.76% over the last quarter.

Massachusetts Financial Services holds 6,840K shares representing 2.05% ownership of the company. No change in the last quarter.

Dodge & Cox holds 6,143K shares representing 1.84% ownership of the company. In it’s prior filing, the firm reported owning 7,380K shares, representing a decrease of 20.14%. The firm decreased its portfolio allocation in GS by 11.73% over the last quarter.

Goldman Sachs Group Declares $2.50 Dividend

On April 18, 2023 the company declared a regular quarterly dividend of $2.50 per share ($10.00 annualized). Shareholders of record as of June 1, 2023 will receive the payment on June 29, 2023. Previously, the company paid $2.50 per share.

At the current share price of $321.26 / share, the stock’s dividend yield is 3.11%.

Looking back five years and taking a sample every week, the average dividend yield has been 2.17%, the lowest has been 1.29%, and the highest has been 3.70%. The standard deviation of yields is 0.55 (n=237).

The current dividend yield is 1.71 standard deviations above the historical average.

Additionally, the company’s dividend payout ratio is 0.32. 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’s 3-Year dividend growth rate is 1.00%, demonstrating that it has increased its dividend over time.

Goldman Sachs Group Background Information
(This description is provided by the company.)

The Goldman Sachs Group, Inc. is a leading global investment banking, securities and investment management firm that provides a wide range of financial services to a substantial and diversified client base that includes corporations, financial institutions, governments and individuals. Founded in 1869, the firm is headquartered in New York and maintains offices in all major financial centers around the world.

See all Goldman Sachs Group regulatory filings.

This article originally appeared on Fintel

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