Is Selling State Street Corp Here a Winning Strategy? Option Traders Hate The Stock

 Is Selling State Street Corp Here a Winning Strategy? Option Traders Hate The Stock

In today’s session State Street Corp (STT) recorded an unusually high (4,294) contracts volume of put trades. Someone, most probably a professional was a very active buyer of the December, 2016 put, expecting serious STT decrease. With 4,294 contracts traded and 1324 open interest for the Dec, 16 contract, it seems this is a quite bearish bet. The option with symbol: STT161216P00075000 closed last at: $0.78 or 14.7% up. The stock increased 0.35% or $0.27 on November 23, hitting $78.28. About 1.77 million shares traded hands. State Street Corp (NYSE:STT) has risen 26.48% since April 22, 2016 and is uptrending. It has outperformed by 21.07% the S&P500.

Analysts await State Street Corp (NYSE:STT) to report earnings on January, 25. They expect $1.34 earnings per share, up 10.74% or $0.13 from last year’s $1.21 per share. STT’s profit will be $513.03M for 14.60 P/E if the $1.34 EPS becomes a reality. After $1.35 actual earnings per share reported by State Street Corp for the previous quarter, Wall Street now forecasts -0.74% negative EPS growth.

State Street Corp (NYSE:STT) Ratings Coverage

Out of 11 analysts covering State Street Corporation (NYSE:STT), 3 rate it a “Buy”, 1 “Sell”, while 7 “Hold”. This means 27% are positive. $88 is the highest target while $52 is the lowest. The $74 average target is -5.47% below today’s ($78.28) stock price. State Street Corporation has been the topic of 32 analyst reports since July 28, 2015 according to StockzIntelligence Inc. The firm has “Equal-Weight” rating by Morgan Stanley given on Monday, November 14. The firm has “Hold” rating by Standpoint Research given on Sunday, August 9. Deutsche Bank maintained State Street Corp (NYSE:STT) rating on Friday, January 8. Deutsche Bank has “Hold” rating and $68.0 price target. Keefe Bruyette & Woods upgraded the shares of STT in a report on Wednesday, October 5 to “Mkt Perform” rating. The firm has “Buy” rating by Argus Research given on Thursday, January 28. Sandler O’Neill downgraded the stock to “Hold” rating in Tuesday, September 6 report. Wood downgraded the shares of STT in a report on Monday, March 28 to “Underperform” rating. The stock has “Overweight” rating given by Barclays Capital on Wednesday, January 13. Argus Research maintained the shares of STT in a report on Monday, October 26 with “Buy” rating. Deutsche Bank maintained the shares of STT in a report on Wednesday, October 5 with “Hold” rating.

According to Zacks Investment Research, “State Street Corporation is the world’s leading specialist in providing sophisticated global investors with investment servicing, investment management, investment research and trading services. Customers include mutual funds and other collective investment funds, corporate and public pension funds, corporations, unions and not-for-profit organizations in and outside of the United States.”

Insitutional Activity: The institutional sentiment decreased to 0.77 in Q2 2016. Its down 0.15, from 0.92 in 2016Q1. The ratio turned negative, as 39 funds sold all State Street Corp shares owned while 250 reduced positions. 71 funds bought stakes while 194 increased positions. They now own 328.46 million shares or 1.10% less from 332.10 million shares in 2016Q1.
Rothschild Inv Il last reported 8,000 shares in the company. Ariel Cap Advsr Ltd Liability has 23,392 shares for 0.78% of their US portfolio. Cobblestone Capital Advsr Lc Ny holds 0.05% or 6,510 shares in its portfolio. Cwm Ltd Llc, a Nebraska-based fund reported 24 shares. Ellington Management Grp Ltd Com owns 4,100 shares or 0.31% of their US portfolio. Bluecrest Capital accumulated 5,100 shares or 0.01% of the stock. Apriem Advisors last reported 1,324 shares in the company. Tortoise Management Lc accumulated 190 shares or 0% of the stock. The Rhode Island-based Amica Retiree Med has invested 0.24% in State Street Corp (NYSE:STT). Moreover, Pax World Mngmt Ltd Liability Corporation has 0.01% invested in State Street Corp (NYSE:STT) for 4,452 shares. California Pub Employees Retirement Systems accumulated 0.1% or 1.17M shares. Mufg Americas reported 1,156 shares or 0% of all its holdings. Hbk Invests Lp accumulated 14,910 shares or 0.01% of the stock. Long Road Invest Counsel Lc has 23,501 shares for 0.99% of their US portfolio. Wesbanco Financial Bank last reported 0.06% of its portfolio in the stock.

Insider Transactions: Since July 1, 2016, the stock had 0 insider buys, and 10 selling transactions for $7.32 million net activity. $525,000 worth of shares were sold by Keenan Karen C on Tuesday, August 30. Newth Sean P sold $3,707 worth of stock or 54 shares. Another trade for 15,000 shares valued at $1.04 million was made by CARP JEFFREY N on Monday, October 3.

State Street Corporation, the parent company, is a financial holding company. The company has a market cap of $29.97 billion. The parent firm provides financial and managerial support to its legal and operating subsidiaries. It has a 16.11 P/E ratio. The Company, through its subsidiary, State Street Bank, provides a range of financial services and products to institutional investors across the world.

STT Company Profile

State Street Corporation, incorporated on October 16, 1969, the parent company, is a financial holding company. The parent firm provides financial and managerial support to its legal and operating subsidiaries. The Company, through its subsidiary, State Street Bank, provides a range of financial services and products to institutional investors across the world. The Company’s clients include mutual funds, collective investment funds and other investment pools, corporate and public retirement plans, insurance companies, foundations, endowments and investment managers. The Firm has approximately two lines of businesses: Investment Servicing and Investment Management.

More news for State Street Corp (NYSE:STT) were recently published by: Nasdaq.com, which released: “Agree To Buy State Street Corp. At $55, Earn 6.2% Using Options” on November 23, 2016. Bizjournals.com‘s article titled: “State Street subleasing chunk of namesake tower in Boston” and published on November 23, 2016 is yet another important article.

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