Gates Industrial Target of Unusually High Options Trading (NYSE:GTES)

Gates Industrial Corporation PLC (NYSE:GTES) was the target of some unusual options trading activity on Thursday. Stock traders acquired 4,005 call options on the stock. This represents an increase of approximately 155% compared to the average volume of 1,571 call options.

Institutional Trading of Gates Industrial

Several hedge funds have recently made changes to their positions in GTES. Bank of America Corp DE increased its stake in Gates Industrial by 13.7% during the first quarter. Bank of America Corp DE now owns 1,920,689 shares of the company’s stock worth $43,427,000 after acquiring an additional 230,836 shares during the last quarter. Janus Henderson Group PLC raised its position in Gates Industrial by 3.8% during the first quarter. Janus Henderson Group PLC now owns 5,230,159 shares of the company’s stock valued at $118,252,000 after purchasing an additional 193,896 shares during the period. Bull Harbor Capital LLC bought a new stake in shares of Gates Industrial in the 1st quarter valued at approximately $224,000. Amundi boosted its holdings in shares of Gates Industrial by 52.0% in the 1st quarter. Amundi now owns 91,652 shares of the company’s stock worth $2,072,000 after purchasing an additional 31,371 shares during the period. Finally, California State Teachers Retirement System boosted its holdings in shares of Gates Industrial by 24.2% in the 1st quarter. California State Teachers Retirement System now owns 303,123 shares of the company’s stock worth $6,854,000 after purchasing an additional 58,990 shares during the period. 98.50% of the stock is currently owned by hedge funds and other institutional investors.

Gates Industrial Price Performance

Shares of Gates Industrial stock traded down $0.22 during trading on Thursday, reaching $23.96. 190,714 shares of the stock traded hands, compared to its average volume of 2,373,099. The company has a market capitalization of $6.08 billion, a price-to-earnings ratio of 24.98 and a beta of 1.28. Gates Industrial has a 52-week low of $20.39 and a 52-week high of $28.47. The business has a fifty day simple moving average of $24.21 and a two-hundred day simple moving average of $23.72. The company has a debt-to-equity ratio of 0.61, a current ratio of 3.67 and a quick ratio of 2.66.

Gates Industrial (NYSE:GTES) last posted its earnings results on Friday, May 1st. The company reported $0.35 earnings per share for the quarter, beating analysts’ consensus estimates of $0.32 by $0.03. Gates Industrial had a net margin of 7.23% and a return on equity of 10.00%. The firm had revenue of $851.10 million during the quarter, compared to analyst estimates of $859.72 million. Gates Industrial’s revenue for the quarter was up .4% compared to the same quarter last year. During the same period last year, the firm posted $0.36 earnings per share. Gates Industrial has set its FY 2026 guidance at 1.520-1.680 EPS. Sell-side analysts expect that Gates Industrial will post 1.53 EPS for the current year.

Wall Street Analysts Forecast Growth

Several brokerages have commented on GTES. Robert W. Baird lowered their price objective on shares of Gates Industrial from $39.00 to $37.00 and set an “outperform” rating for the company in a report on Monday, May 4th. Royal Bank Of Canada reaffirmed an “outperform” rating and issued a $31.00 price objective on shares of Gates Industrial in a research report on Friday, February 13th. UBS Group reissued a “buy” rating and set a $33.00 price objective on shares of Gates Industrial in a report on Friday, February 13th. Wall Street Zen cut Gates Industrial from a “strong-buy” rating to a “buy” rating in a research report on Sunday, May 10th. Finally, Citigroup boosted their price objective on shares of Gates Industrial from $27.00 to $33.00 and gave the company a “buy” rating in a research report on Friday, February 13th. Seven equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company. According to data from MarketBeat, Gates Industrial has a consensus rating of “Moderate Buy” and a consensus price target of $30.18.

Gates Industrial Company Profile

Gates Industrial Corporation PLC (NYSE: GTES) is a leading global manufacturer of engineered power transmission belts and fluid power products. The company’s portfolio includes synchronous belts, V-belts, hose assemblies, fittings and hydraulic components designed to support a wide range of industrial and automotive applications. Gates Industrial serves sectors such as agriculture, mining, construction, manufacturing, transportation and consumer markets, offering solutions that improve performance, reliability and efficiency in demanding operating environments.

In its power transmission segment, Gates Industrial produces high-strength belts engineered for precise motion control and minimal maintenance.