Quantum Sees Unusually High Options Volume (NASDAQ:QMCO)

Quantum Corporation (NASDAQ:QMCO) was the target of unusually large options trading activity on Wednesday. Stock investors purchased 3,824 call options on the company. This is an increase of 205% compared to the average daily volume of 1,254 call options.

Key Stories Impacting Quantum

Here are a few of the latest stories about QMCO:

• Positive Sentiment: Quantum reported Q2 revenue of $89.6 million, up 42.9% year over year and above estimates. EPS of $0.25 also beat consensus, and gross margin expanded to 41%. Quantum Q2 results
• Positive Sentiment: Q3 guidance calls for revenue of $89 million–$93 million, above the roughly $85.5 million consensus estimate. Hyperscale tape demand has risen more than 2.6 times, and the order backlog is nearing $100 million. Earnings call takeaways
• Positive Sentiment: Cantor Fitzgerald raised its price target from $29 to $32 and maintained an Overweight rating. Call-option trading volume was also reported at 205% above its average, suggesting increased bullish speculation, though options activity alone does not establish investor sentiment. Cantor Fitzgerald rating

Analyst Ratings Changes

QMCO has been the topic of several recent analyst reports. Cantor Fitzgerald lifted their target price on shares of Quantum from $29.00 to $32.00 and gave the stock an “overweight” rating in a research report on Tuesday. Litchfield Hills Research started coverage on Quantum in a report on Monday, August 10th. They issued a “buy” rating for the company. Northland Securities raised Quantum from a “market perform” rating to an “outperform” rating and set a $24.00 price target for the company in a research report on Tuesday, August 11th. Lake Street Capital set a $29.00 price target on Quantum and gave the stock a “buy” rating in a report on Monday, September 14th. Finally, Wall Street Zen raised Quantum from a “hold” rating to a “buy” rating in a research report on Saturday, August 15th. Five investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Quantum presently has an average rating of “Moderate Buy” and an average target price of $28.33.

Institutional Investors Weigh In On Quantum

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Alyeska Investment Group L.P. purchased a new position in shares of Quantum in the second quarter valued at $29,193,000. Two Seas Capital LP bought a new position in Quantum in the 2nd quarter worth about $27,374,000. Manatuck Hill Partners LLC purchased a new position in Quantum during the 2nd quarter valued at about $3,850,000. BlackRock Inc. purchased a new position in Quantum during the 2nd quarter valued at about $3,003,000. Finally, Bank of America Corp DE grew its holdings in Quantum by 730.5% during the 2nd quarter. Bank of America Corp DE now owns 170,130 shares of the company’s stock valued at $1,871,000 after buying an additional 149,645 shares in the last quarter. Institutional investors own 63.66% of the company’s stock.

Quantum Stock Up 6.7%

Quantum stock traded up $1.09 during trading on Wednesday, hitting $17.39. The stock had a trading volume of 721,808 shares, compared to its average volume of 1,143,511. Quantum has a 1 year low of $4.19 and a 1 year high of $35.65. The stock’s 50 day moving average is $23.79 and its two-hundred day moving average is $13.39. The stock has a market cap of $685.18 million, a price-to-earnings ratio of -1.60 and a beta of 3.23.

Quantum (NASDAQ:QMCO) last announced its quarterly earnings data on Monday, November 9th. The company reported $0.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.12 by $0.13. The business had revenue of $89.63 million for the quarter, compared to analysts’ expectations of $82.30 million. Quantum had a negative return on equity of 3.52% and a negative net margin of 73.54%. Quantum has set its Q3 2027 guidance at 0.100-0.300 EPS. As a group, equities research analysts anticipate that Quantum will post 0.31 EPS for the current fiscal year.

Quantum Company Profile

Quantum Corporation provides data storage and management solutions for organizations that create and retain large volumes of unstructured data, including video, images and other digital content. Its customers include businesses and institutions in areas such as media and entertainment, government, life sciences and industrial markets. The company’s offerings include StorNext shared-storage and data-management software, Scalar tape libraries for backup and archiving, and ActiveScale object storage.