Traders Buy High Volume of Call Options on Plains All American Pipeline (NASDAQ:PAA)

Plains All American Pipeline Lp (NASDAQ:PAA) saw some unusual options trading activity on Tuesday. Stock investors bought 7,200 call options on the stock. This represents an increase of 58% compared to the typical daily volume of 4,567 call options.

Institutional Trading of Plains All American Pipeline

A number of hedge funds have recently added to or reduced their stakes in the business. BROOKFIELD Corp ON increased its position in Plains All American Pipeline by 428.2% during the 1st quarter. BROOKFIELD Corp ON now owns 3,691,435 shares of the company’s stock valued at $82,430,000 after purchasing an additional 2,992,549 shares during the period. Mizuho Markets Americas LLC purchased a new stake in shares of Plains All American Pipeline in the 1st quarter worth approximately $16,819,000. NEOS Investment Management LLC lifted its position in shares of Plains All American Pipeline by 34.6% in the 2nd quarter. NEOS Investment Management LLC now owns 774,913 shares of the company’s stock worth $17,250,000 after purchasing an additional 199,296 shares during the period. Angeles Wealth Management LLC bought a new position in shares of Plains All American Pipeline during the first quarter valued at approximately $4,305,000. Finally, Infrastructure Capital Advisors LLC boosted its stake in shares of Plains All American Pipeline by 4.4% during the first quarter. Infrastructure Capital Advisors LLC now owns 3,089,992 shares of the company’s stock valued at $69,000,000 after purchasing an additional 130,164 shares in the last quarter. 41.78% of the stock is owned by hedge funds and other institutional investors.

Plains All American Pipeline Trading Down 1.7%

PAA stock traded down $0.47 during mid-day trading on Tuesday, reaching $26.38. The company had a trading volume of 1,847,341 shares, compared to its average volume of 2,957,673. The company has a market capitalization of $18.62 billion, a PE ratio of 7.31, a price-to-earnings-growth ratio of 9.43 and a beta of 0.57. The firm has a 50 day moving average of $24.97 and a 200 day moving average of $22.59. Plains All American Pipeline has a 12 month low of $16.00 and a 12 month high of $26.92. The company has a debt-to-equity ratio of 0.69, a current ratio of 1.12 and a quick ratio of 1.10.

Plains All American Pipeline (NASDAQ:PAA) last posted its quarterly earnings results on Friday, August 7th. The company reported $0.41 earnings per share for the quarter, missing the consensus estimate of $0.50 by ($0.09). Plains All American Pipeline had a net margin of 5.29% and a return on equity of 12.13%. The company had revenue of $17.69 billion for the quarter. During the same period in the previous year, the company earned $0.36 earnings per share. The business’s quarterly revenue was up 66.3% on a year-over-year basis. On average, equities analysts predict that Plains All American Pipeline will post 1.73 earnings per share for the current fiscal year.

Plains All American Pipeline Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, November 13th. Investors of record on Friday, October 30th will be issued a $0.4175 dividend. This represents a $1.67 annualized dividend and a dividend yield of 6.3%. The ex-dividend date is Friday, October 30th. Plains All American Pipeline’s payout ratio is presently 46.26%.

Wall Street Analyst Weigh In

Several brokerages have issued reports on PAA. Jefferies Financial Group started coverage on shares of Plains All American Pipeline in a research note on Friday, October 9th. They issued a “buy” rating and a $27.00 price objective for the company. Zacks Research raised Plains All American Pipeline from a “strong sell” rating to a “hold” rating in a research note on Monday, August 10th. Raymond James Financial reiterated a “strong-buy” rating and issued a $28.00 price target on shares of Plains All American Pipeline in a report on Monday, October 19th. Morgan Stanley raised their price target on Plains All American Pipeline from $25.00 to $26.00 and gave the stock an “equal weight” rating in a research note on Tuesday, August 18th. Finally, Mizuho upped their price objective on Plains All American Pipeline from $27.00 to $30.00 and gave the company an “outperform” rating in a research report on Monday, September 21st. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $25.87.

Plains All American Pipeline Company Profile

Plains All American Pipeline, L.P. is a midstream energy infrastructure company that provides logistics services for crude oil and natural gas liquids (NGLs). Rather than primarily exploring for or producing hydrocarbons, the company operates assets that help gather, transport, store and deliver energy commodities from production areas to refineries, processing facilities and other markets.

The company’s operations include pipeline transportation systems, gathering networks, storage facilities, rail and truck transportation, and terminal and export infrastructure.