Stock Traders Buy High Volume of Infinera Call Options (NASDAQ:INFN)

Infinera Co. (NASDAQ:INFN) was the target of unusually large options trading activity on Wednesday. Traders acquired 5,008 call options on the company. This represents an increase of 284% compared to the typical volume of 1,304 call options.

Infinera Price Performance

Shares of INFN stock traded up $0.04 on Wednesday, reaching $6.24. The company’s stock had a trading volume of 6,226,332 shares, compared to its average volume of 3,562,768. The stock’s fifty day simple moving average is $5.34 and its 200-day simple moving average is $5.14. The company has a current ratio of 1.65, a quick ratio of 0.97 and a debt-to-equity ratio of 4.08. Infinera has a 1 year low of $2.82 and a 1 year high of $6.62.

Infinera (NASDAQ:INFN) last issued its quarterly earnings data on Tuesday, May 14th. The communications equipment provider reported ($0.23) EPS for the quarter, missing analysts’ consensus estimates of ($0.16) by ($0.07). The business had revenue of $306.92 million during the quarter, compared to analysts’ expectations of $337.73 million. Infinera had a negative return on equity of 27.68% and a negative net margin of 5.11%. Equities analysts expect that Infinera will post -0.19 EPS for the current year.

Analysts Set New Price Targets

Several brokerages have recently commented on INFN. Stifel Nicolaus restated a “buy” rating and issued a $7.00 price objective on shares of Infinera in a research report on Wednesday, May 15th. B. Riley restated a “buy” rating and issued a $9.00 price target on shares of Infinera in a research note on Wednesday, May 15th. Craig Hallum reiterated a “hold” rating and set a $6.65 price objective (down previously from $12.00) on shares of Infinera in a research report on Monday. Needham & Company LLC reissued a “hold” rating on shares of Infinera in a report on Friday, June 28th. Finally, Morgan Stanley raised their target price on shares of Infinera from $5.40 to $6.65 and gave the company an “equal weight” rating in a research note on Friday, June 28th. One research analyst has rated the stock with a sell rating, four have given a hold rating and three have issued a buy rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $7.55.

Institutional Investors Weigh In On Infinera

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. ASB Consultores LLC bought a new stake in Infinera in the third quarter worth $93,000. Vanguard Group Inc. raised its stake in shares of Infinera by 1.3% in the third quarter. Vanguard Group Inc. now owns 24,281,031 shares of the communications equipment provider’s stock valued at $101,495,000 after acquiring an additional 314,856 shares during the period. SG Americas Securities LLC bought a new stake in shares of Infinera in the 4th quarter worth about $81,000. DDD Partners LLC boosted its stake in shares of Infinera by 101.1% during the 4th quarter. DDD Partners LLC now owns 29,694 shares of the communications equipment provider’s stock worth $141,000 after purchasing an additional 14,925 shares during the period. Finally, Mackenzie Financial Corp grew its holdings in Infinera by 53.8% during the 4th quarter. Mackenzie Financial Corp now owns 18,933 shares of the communications equipment provider’s stock valued at $90,000 after purchasing an additional 6,619 shares during the last quarter. 97.54% of the stock is currently owned by hedge funds and other institutional investors.

About Infinera

Infinera Corporation provides optical transport networking equipment, software, and services worldwide. The company's product portfolio includes Infinera Groove series for modular and sled-based platforms to support a various transport network applications; Infinera 7300 series, an SDN-ready coherent optical transport system; Infinera FlexILS open optical line system that connects various Infinera and third-party terminal equipment platforms over long-distance fiber optic cable providing switching, multiplexing, amplification, and management channels; and Infinera 7090 and 7100 series for transport platforms.