Stock Traders Buy Large Volume of Put Options on Sleep Number (NASDAQ:SNBR)

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Sleep Number Co. (NASDAQ:SNBR) saw some unusual options trading activity on Monday. Traders purchased 4,462 put options on the company. This represents an increase of 851% compared to the typical volume of 469 put options.

In related news, SVP Christopher D. Krusmark sold 1,705 shares of the company’s stock in a transaction dated Thursday, November 4th. The shares were sold at an average price of $91.00, for a total transaction of $155,155.00. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CMO Kevin Kennedy Brown sold 16,190 shares of the company’s stock in a transaction dated Friday, November 5th. The stock was sold at an average price of $89.79, for a total transaction of $1,453,700.10. The disclosure for this sale can be found here. Insiders own 5.70% of the company’s stock.

A number of institutional investors have recently added to or reduced their stakes in SNBR. Banque Cantonale Vaudoise acquired a new stake in shares of Sleep Number in the 2nd quarter valued at $33,000. Pinnacle Holdings LLC purchased a new position in Sleep Number during the 3rd quarter worth $116,000. Virtu Financial LLC purchased a new position in Sleep Number during the 2nd quarter worth $213,000. Bailard Inc. purchased a new stake in shares of Sleep Number in the second quarter valued at about $245,000. Finally, Origin Asset Management LLP boosted its holdings in shares of Sleep Number by 27.9% in the second quarter. Origin Asset Management LLP now owns 2,325 shares of the company’s stock valued at $256,000 after acquiring an additional 507 shares in the last quarter. Institutional investors own 95.92% of the company’s stock.

Sleep Number stock opened at $77.90 on Tuesday. The firm has a market cap of $1.76 billion, a price-to-earnings ratio of 9.99, a PEG ratio of 0.77 and a beta of 1.71. Sleep Number has a 52-week low of $72.72 and a 52-week high of $151.44. The business’s 50 day simple moving average is $80.92.

Sleep Number (NASDAQ:SNBR) last released its earnings results on Wednesday, October 27th. The company reported $2.22 earnings per share (EPS) for the quarter, topping the Zacks’ consensus estimate of $1.44 by $0.78. The company had revenue of $640.00 million for the quarter, compared to analyst estimates of $569.90 million. Sleep Number had a net margin of 9.02% and a negative return on equity of 58.26%. The firm’s quarterly revenue was up 20.5% on a year-over-year basis. During the same period in the prior year, the business earned $1.79 EPS. On average, analysts anticipate that Sleep Number will post 7.24 EPS for the current fiscal year.

Several research firms have recently weighed in on SNBR. Zacks Investment Research raised shares of Sleep Number from a “sell” rating to a “hold” rating in a research note on Saturday, October 30th. Wedbush lowered their price objective on shares of Sleep Number from $130.00 to $105.00 and set a “neutral” rating for the company in a research report on Thursday, October 28th. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating and two have given a buy rating to the stock. Based on data from MarketBeat.com, Sleep Number presently has an average rating of “Hold” and a consensus price target of $116.80.

About Sleep Number

Sleep Number Corp. designs, manufactures, markets, and distributes beds, proprietary beds, and other sleep-related accessory products. It offers beds under the brand name Sleep Number. The company was founded by Robert Walker and JoAnn Walker in 1987 and is headquartered in Minneapolis, MN.

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