Commonwealth Equity Services LLC significantly increased its investment in StoneX Group Inc. (NASDAQ: SNEX) by an impressive 1,708.4% during the third quarter of 2023. According to the firm’s recent 13F filing with the Securities and Exchange Commission (SEC), Commonwealth now holds 72,823 shares of StoneX, having acquired an additional 68,796 shares over the quarter. This investment is valued at approximately $7.35 million, representing about 0.14% of the total shares outstanding.
The surge in Commonwealth’s position is part of a broader trend among institutional investors. Global Retirement Partners LLC also made headlines by raising its stake in StoneX by a staggering 18,940.0%, bringing its total to 6,664 shares worth around $673,000. Other notable activities include a new investment from Salomon & Ludwin LLC, valued at $37,000, and Dupont Capital Management Corp, which acquired shares worth $773,000. Hennessy Advisors Inc. expanded its holdings by 383.8%, totaling 542,800 shares valued at $54.78 million.
These transactions reveal a growing interest in StoneX, with institutional investors collectively owning 75.93% of the company’s stock.
StoneX Group’s Financial Performance
On November 24, 2023, StoneX Group reported its latest earnings, revealing earnings per share (EPS) of $1.57. This figure falls slightly short of analysts’ expectations of $1.58 per share. The company generated revenues of $1.32 billion, exceeding the consensus estimate of $1.04 billion. Despite the revenue success, StoneX recorded a net margin of just 0.23% and a return on equity of 15.27%, down from $2.32 EPS in the same quarter last year. Analysts predict that StoneX will post an EPS of $8.70 for the current fiscal year.
The company’s stock opened at $103.14 on Wednesday, reflecting a twelve-month range between a low of $65.00 and a high of $106.98. The market capitalization stands at approximately $5.39 billion, with a price-to-earnings (P/E) ratio of 17.50.
Analyst Ratings and Insider Transactions
Recent analysis of StoneX shares has shown mixed opinions. Zacks Research downgraded the stock from a “strong-buy” rating to a “hold” rating on October 6, 2023. Meanwhile, Weiss Ratings maintained a “hold (C+)” rating as of December 29, 2023. Currently, one analyst has issued a Buy rating, while two analysts recommend holding the stock. According to data from MarketBeat.com, the consensus rating remains a “Hold”.
In terms of insider transactions, John Moore Fowler, a director at StoneX, sold 1,125 shares on November 3, 2023, at an average price of $91.20, totaling approximately $102,600. Following this transaction, he retains 114,769 shares with a value of about $10.47 million. Conversely, John Radziwill, the chairman, purchased 1,000 shares on December 16, 2023, for an average of $97.25 per share, amounting to $97,250. This purchase increased his holdings to 101,596 shares, valued at approximately $9.88 million.
Insider ownership at StoneX accounts for 11.70% of the total shares. Over the last quarter, insiders sold a total of 6,979 shares worth $659,070.
StoneX Group Inc. is a global financial services firm that provides execution, risk management, advisory, and post-trade solutions across various segments, including commodities, currencies, securities, and digital assets. Its diverse client base includes commercial businesses, institutional clients, and financial intermediaries, all benefiting from tailored services designed to manage price risk and optimize working capital.
