Posts Tagged ‘MYGN’

Deal Announcement Spurs Action In Gannett Co. Options

Today’s tickers: GCI, KO & MYGN

GCI - Gannett Co., Inc. – Shares in USA Today publisher, Gannett Co., Inc., jumped nearly 30% at the start of the trading session to a five-year high of $25.69 after the company agreed to purchase Belo Corp. for $1.5 billion in cash and assume $715 million in existing debt. The merger will make Gannett the fourth-largest U.S. owner of major network affiliates, doubling the company’s existing broadcast portfolio from 23 to 43 stations, according to a press release issued by the companies. The announcement and subsequent double-digit percentage move in the price of GCI shares sparked heavier than usual options activity on the stock today. Upwards of 9,500 contracts have changed hands on Gannett as of 11:50 a.m. ET versus average daily volume of around 2,100 contracts. It looks like some traders are purchasing put options on Gannett today, perhaps positioning for shares in the name to surrender some of the gains in the near term. Front month put buyers looked to the Jun $25 and $26 strikes, picking up around $350 of the $25 strike puts for an average premium of $0.82 apiece, and buying 200 of the $26 strike puts at a premium of $1.15 each. Traders may profit at expiration next week should shares in GCI decline 5.9% and 3.3% from today’s high of $25.69 to breach average breakeven points on the downside at $24.18 and $24.85, respectively. Similar strategies were initiated in the Jul $24 and $25 strike put options in the early going on Thursday.

KO - Coca-Cola Co. – Mixed trading in weekly options on Coca-Cola Co. this morning suggests some traders are positioning for shares in the world’s largest beverage company to move ahead of the weekend. The stock is currently down 1.25% at $39.89 as of 12:10 p.m. ET, even as U.S. stocks rebound following three consecutive days of declines. One trader betting shares in KO reverse declines by expiration appears to have purchased around 1,300 calls at the Jun 14 ’13 $40 strike…
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Sony Options Active As Shares Hit Fresh 52-Week High

 

Today’s tickers: SNE, ERF & MYGN

SNE - Sony Corp – Big prints in Sony Corp. call and put options this morning pushed the consumer electronics maker onto our ‘hot by options volume’ market scanner in the early going on Monday, with overall volume up above 21,000 contracts versus the stock’s average daily volume of roughly 8,000 contracts. Trading traffic in the June expiry options suggests one or more traders are near term bullish on the prospects for the price of the underlying shares. The stock is up nearly 5.0% on the day to stand at $18.78 as of 11:25 a.m. ET. The Jun $17 strike puts traded 8,900 times versus open interest of just 232 contracts during the first 20 minutes of the session. It looks like the puts were sold for a premium of $0.25 apiece. Similarly, roughly 2,090 of the Jun $16 strike puts appear to have been sold at the same time for a premium of $0.10 each. Maximum potential profits equal to premiums received on the transactions are available at June expiration as long as Sony’s shares exceed the stated striking prices. Meanwhile, less than 10 minutes after the puts traded, roughly 5,800 of the Jun $19 strike calls were purchased for an average premium of $0.80 per contract. The calls make money at expiration should shares in Sony Corp. rally another 5.4% to surpass the average premium price of $19.80.

ERF - Enerplus Corp – Shares in North American independent energy company, Enerplus Corp, are up more than 5.0% on Monday to stand at $15.84 as of 11:45 a.m. ET. The operator of oil and gas properties in Canada and the U.S. was upgraded to ‘Outperform’ from ‘Market Perform’ at Raymond James today. Options activity on Enerplus this morning indicates at least one strategist is positioning for shares in the name to rally to the highest level since October of 2012 during the next couple of months. The July $17 strike calls have traded around 1,100 times as of midday in New…
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Bullish Bets On UnitedHealth Working As Shares Sprint Higher

 

Today’s tickers: UNH, MYGN & OMPI

UNH - UnitedHealth Group, Inc. – Shares in UnitedHealth rose sharply in after-hours trading on Monday after the U.S. government reversed an earlier decision to reduce a Medicare payment rate and instead offer an increase in the rate. Bullish bets initiated on UnitedHealth ahead of the federal government’s announcement yesterday generated big gains for some traders, with shares in UNH surging 8.4% to $63.95 in the early going today, the highest level since 2005. Open interest in weekly call options on UNH is greatest in the April 05 ’13 $57.5 and $60 strike calls, with more than 1,300 open contracts each. A review of time and sales data from the prior two trading session indicates most of the $57.5 strike calls were purchased ahead of the long weekend at an average premium of $0.39 each, while the $60 strike calls were picked up yesterday for an average premium of $0.17 apiece. The sharp rally in UnitedHealth’s shares since these upside call options were purchased now finds the $57.5 and $60 strike calls changing hands at $5.45 and $3.30 apiece, respectively, as of 11:15 a.m. ET on Tuesday. Traders long the weekly calls ahead of the close on Monday are sitting on big paper profits worth many times the initial premium outlay today. Overall options volume on UnitedHealth on Tuesday morning is approaching 24,000 contracts as of the time of this writing, or roughly three times the stock’s average daily volume. Call options are more active than puts, with the call/put ratio hovering around 1.9 as of 11:20 a.m. in New York.

MYGN - Myriad Genetics, Inc. – Options changing hands on biotechnology company, Myriad Genetics, Inc., this morning suggests one trader is bracing for shares in the maker of molecular diagnostic tests to potentially decline sharply during the next few months. The stock is bucking the broad market trend today, trading down 0.60% at $24.97 as of 11:30 a.m. ET. Shares in Myriad have dropped roughly 10% since the start of 2013.…
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Heavy Action In BP Call Options With Earnings On The Horizon

 

Today’s tickers: BP, RSH, FTI & MYGN

BP - BP PLC – Far out-of-the-money call options on BP saw heavier-than-usual activity on Tuesday afternoon, with shares in the oil company trading up 1.3% at $44.70 as of 12:30 p.m. in New York. Fresh prints in March expiry calls may represent low-cost, low-probability bullish bets that shares in BP will rally sharply by expiration. BP is scheduled to release fourth-quarter earnings ahead of the opening bell on February 7, one week from today. Options traders exchanged more than 3,000 call options at the Mar. $49 strike against open interest of 621 contracts. The majority of the calls appear to have been purchased for an average premium of $0.22 apiece. Like-minded strategists snapped up some 3,500 calls at the higher Mar. $50 strike at an average premium of $0.11 each. Investors long the calls may profit at expiration in March in the event that BP’s shares soar 10.1% and 12.1% to exceed average breakeven prices of $49.22 and $50.11, respectively. Overall trading in BP options players are heavily favoring calls on the name over puts today, with more than 4.2 calls changing hands on the stock for each single put option in early-afternoon trade.

RSH - RadioShack Corp. – Shares in consumer electronics retailer, RadioShack Corp., plunged 30.0% to $7.15 on Tuesday after the Company revealed lower-than-anticipated preliminary fourth-quarter earnings and suspended stock buybacks. The breath-taking drop in the price of the underlying shares spurred some options traders to ready themselves for a potential rebound in the next few weeks. Call buyers looked to the Feb. $7.0, $8.0 and $9.0 strike calls, buying around 1,600, 3,200 and 235 contracts at each strike, respectively, this morning. Investors long the calls may have picked up the…
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A Little Cautious Optimism at Arena

Today’s tickers: ARNA, XLF, EEM, FXI, ARM, MAR & MYGN

ARNA - The clinical-stage biopharmaceutical company received a downgrade to ‘sell’ at EVA Dimensions this morning, perhaps prompting bearish put buying which we observed in the October contract. However, a contrarian trader took an opposing stance on the stock by utilizing puts at the same strike, albeit in a different manner. Shares have declined less than 0.5% to stand at the current price of $4.87. Plain-vanilla put buying earlier in the session matched the bearish downgrade. Approximately 10,000 puts were purchased at the October 4.0 strike price for an about 95 cents apiece. Traders holding the puts will begin to amass profits if shares of ARNA fall beneath the breakeven price of $3.05. An investor with a glass-half-full outlook on Arena chose to purchase a chunk of 10,000 puts at the same strike for a dollar a-pop. However, these put options were married to shares of the underlying stock because the trader is hoping for shares to appreciate. He has strategically used put options to protect his long stock position in case the value of the shares decreases ahead of expiration. –  Arena Pharmaceuticals, Inc. –

XLF - Shares of the financials ETF have surrendered less than 1% during the trading session to stand at $14.53. A long-term short strangle was positioned in the January 2011 contract by an investor expecting lower price volatility through expiration. It appears that the trader shed 8,000 puts at the January 13 strike price for a premium of 1.80 each and sold 8,000 calls at the higher January 17 strike for 1.40 apiece. The ‘strangler’ receives a gross premium of 3.20 per contract for a total of $2,560,000. He will make off like a bandit with his chunk of change as long as shares remain within the parameters of the strike prices described through expiration. The short put/call positions expose him to potential losses if the price of the XLF breaches the effective breakeven points. Losses begin to accrue if shares rise through $20.20 or fall beneath $9.80 by expiration. We note that this individual does not need to remain short through January in 2011. He may choose to take profits by making a closing purchase for a net price that is less than 3.20, or the premium received on today’s transaction. –  Financial Select Sector SPDR –

EEM - A large-volume put spread was initiated by…
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Bullish Vibes Radiate From Energy Fund

Today’s tickers: XLE, USU, XLP, MYGN, NYX & ELN

XLE – Investors were observed making bullish plays on the energy ETF today amid a modest share price rally of less than 1% to $48.17. The August 49 strike price had more than 10,000 calls purchased for an average premium of 2.09 per contract. Traders long of the calls are hoping to see shares of the XLE increase 6% to breach the breakeven point at $51.09 by expiration. Elsewhere, investors shed 10,000 puts at the January 2010 45 strike price for 3.65 apiece. It would seem that the put-sellers expect shares of the energy fund to remain higher than $45.00 at the start of 2010. The full premium received today for writing the puts is retained as long as the puts land out-of-the-money by expiration. Investors short the contracts bear the risk of having shares put to them at an effective price of $41.35. – Energy Select Sector SPDR

USU – The supplier of low enriched uranium (LEU) for commercial nuclear power plants was launched onto our ‘most active by options volume’ market scanner after a massive bearish play was initiated on the stock. Shares of USU are currently off by less than .5% to $5.30. An investor looking to extend downside protection on the stock through expiration in October appears to have sold 47,500 puts at the July 5.0 strike price for a premium of 40 cents apiece. The trader then purchased 47,500 puts at the October 5.0 strike for 1.00 per contract. The net cost of the spread amounts to 60 cents or a total of $2,850,000. It is unclear whether the investor was long 47,500 puts prior to today’s transaction. If he were originally long the puts, the trade today would merely represent an extension of downside protection through expiration in October. However, if the trader has sold 47,500 puts short in the July contract to fund the purchase of the October puts, he bears the risk of having shares of the underlying put to him at an effective price of $4.60 by expiration. Downside protection on the October 5.0 strike puts kicks in beneath the breakeven share price of $4.40. – USEC, Inc.

XLP – Shares of the consumer staples ETF have rallied approximately 2% to $23.45. The fund caught our eye after some 7,500 puts were purchased in the January 2010 contract at
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Investors dispute Monsanto “Hold” assessment

Today’s tickers: MON, HPQ, WFC, MYGN, QCOM, XLI, C, WFR, DRYS, FXI, AMD & RMBS

MON Monsanto Company – The St. Louis-based provider of herbicides, seeds, and related biotechnology trait products used to improve farming productivity, experienced a 1.5% decrease in shares to $82.13. Despite the slight decline, a report from Standard & Poor’s this morning noted that the agriculture sector experienced its strongest year in 2008, and further, that “seed and agriculture technology companies stand to benefit” from the health of the farm economy. Monsanto was highlighted for its solid research and development efforts and its promising estimates for earnings through 2012. However, one analyst did report that shares are “fairly valued” at $84.00, prompting a ‘hold’ recommendation. MON popped onto our market scanners after one investor initiated a bull call spread in the May contract. The purchase of 7,500 calls at the 95 strike price for 2.30 was spread against the sale of 7,500 calls at the 105 strike for 55 cents apiece. The net cost of this strategy amounts to 1.75 and yields a maximum potential profit of 8.25 if shares can rally upwards to $105 by expiration. Shares would need to grow by 28% in the next 2 months in order for this optimist to succeed in capturing the maximum profit of 8.25 by expiration day.

HPQ Hewlett-Packard Co. – In contrast to the call-selling witnessed yesterday in the options world, today investors were keen on purchasing calls in the November contract as shares of HPQ rally 1% to $30.95. The world’s largest personal-computer maker received an “outperform” rating by RBC Capital Markets due to the company’s, “diverse revenue portfolio, recurring book of business, stronger margin profile and solid management team,” according to one report released today. While most of the activity occurred in the November contract, one investor was seen banking profits on the sale of 3,000 calls at the in-the-money April 27.5 strike price for a premium of 4.00. Moving ahead 7 months, investors splurged on 2,000 November 32.5 calls for 4.40 apiece. Meanwhile, 5,500 calls were purchased at the 35 strike price for 3.40 at the same time that 6,500 calls were picked up for 2.50 at the 37.5 strike price. Finally, the most optimistic traders looked to the November 40 strike where some 2,400 calls were coveted for a premium of 1.80 per contract. Investors are clearly hoping for HPQ to…
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Phil's Favorites

The Investigation: A Search For the Truth in Ten Acts.

Tune in to a star-studded live stream event ripped straight from the pages of the Mueller Report called The Investigation: A Search for the Truth in Ten Acts.

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Zero Hedge

2 Year Auction Unexpectedly Strong Just As Powell Pours Cold Water On Treasuries

Courtesy of ZeroHedge. View original post here.

In the chaos over Powell's unexpectedly less dovish comments which hit the tape at exactly 1pm, when sent stocks lower, and the dollar and bond yields sharply higher, the primary market had no time to react as it had already submitted its indications for today's $40 billion 2 Year auction when Powell suddenly pulled the rug from under the bond market, sending 2Y yields higher and yet since there was solid demand for the auction before Powell's commentary, the sale of 2Y bonds was a smashing success, stopping at a high yield of 1.695%, 1bp inside the 1....



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ValueWalk

Beyond Meat vs Impossible Burger: Comparing The Vegan Meat Burgers

 

Beyond Meat vs Impossible Burger: Comparing The Vegan Meat Burgers

Courtesy of Vikas Shukla, ValueWalk

Pexels / Pixabay

The trend of vegan food has been gathering momentum in the last few years as people become more health conscious. They have also begun to realize the environmental impact of raising meat for human consumption. According to PETA, it takes an estimated 1...



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Kimble Charting Solutions

Wilshire 5000 Creating A Triple Top? An Important Breakout Test Is In Play!

Courtesy of Chris Kimble.

The stock market has been on fire of late, rallying up to the edge of price resistance on several indexes. Today, we look at one of those stock market indexes: the Wilshire 5000.

The Wilshire 5000 tracks all of the stocks in the US market, so it is a broad-based index that carries significant importance when gauging the health of the overall US stock market.

Looking at the long-term “weekly” chart above, it is pretty clear that the index is at an important price juncture.

The Wilshire 5000 spent the last 25 years trading within a rising price channel (1)...



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Insider Scoop

Jefferies Upgrades Deere, Cites 'Significantly Improved Farmer Income Outlook'

Courtesy of Benzinga.

Farmer buying power will remain pressured for 2019, but this will change for the better next year and will help support Deere & Company (NYSE: DE), according to Jefferies.

The Analyst

Jefferies' Stephen Volkmann upgraded Deere from Hold to Buy with a price target lifted from $150 to $190....



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Chart School

Formula for when the Great Stock Market Rally ends

Courtesy of Read the Ticker.

When valuations for the boring water company or the boring electric company is trading like your Facebook, Apple, Amazon or Netflix or Google (ie FANG) you know something is wrong.

This is when a seriously over valued market is screaming at you.

Of course the reader must understand in a world where money printing goes super nuts (Zimbabwe style) the stock market may go hyper inflationary and picking a time frame for a top is never a good idea, but we are not there yet. There is no Ben Bernanke helicopter money to the masses yet (ie MMT). 

To see when water company's (and such like) are nearing the crazy FANG like valuations a review of the Dow Jones Utility Index channel shows us how history can repeat. The c...

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Digital Currencies

Cryptocurrencies are finally going mainstream - the battle is on to bring them under global control

 

Cryptocurrencies are finally going mainstream – the battle is on to bring them under global control

The high seas are getting lower. dianemeise

Courtesy of Iwa Salami, University of East London

The 21st-century revolutionaries who have dominated cryptocurrencies are having to move over. Mainstream financial institutions are adopting these assets and the blockchain technology that enables them, in what ...



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Biotech

Consumer genetic testing customers stretch their DNA data further with third-party interpretation websites

Reminder: Pharmboy is available to chat with Members, comments are found below each post.

 

Consumer genetic testing customers stretch their DNA data further with third-party interpretation websites

If you’ve got the raw data, why not mine it for more info? Sergey Nivens/Shutterstock.com

Courtesy of Sarah Catherine Nelson, University of Washington

Back in 2016, Helen (a pseudonym) took three different direct-to-consumer (DTC) genetic tests: AncestryDNA, 23andMe and FamilyTreeDNA. She saw genetic testing as a way...



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Members' Corner

Despacito - How to Make Money the Old-Fashioned Way - SLOWLY!

Are you ready to retire?  

For most people, the purpose of investing is to build up enough wealth to allow you to retire.  In general, that's usually enough money to reliably generate a year's worth of your average income, each year into your retirement so that that, plus you Social Security, should be enough to pay your bills without having to draw down on your principle.

Unfortunately, as the last decade has shown us, we can't count on bonds to pay us more than 3% and the average return from the stock market over the past 20 years has been erratic - to say the least - with 4 negative years (2000, 2001, 2002 and 2008) and 14 positives, though mostly in the 10% range on the positives.  A string of losses like we had from 2000-02 could easily wipe out a decades worth of gains.

Still, the stock market has been better over the last 10 (7%) an...



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It's Not Capitalism, it's Crony Capitalism

A good start from :

It's Not Capitalism, it's Crony Capitalism

Excerpt:

The threat to America is this: we have abandoned our core philosophy. Our first principle of this nation as a meritocracy, a free-market economy, where competition drives economic decision-making. In its place, we have allowed a malignancy to fester, a virulent pus-filled bastardized form of economics so corrosive in nature, so dangerously pestilent, that it presents an extinction-level threat to America – both the actual nation and the “idea” of America.

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OpTrader

Swing trading portfolio - week of September 11th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Promotions

Free eBook - "My Top Strategies for 2017"

 

 

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Phil has a chapter in a newly-released eBook that we think you’ll enjoy.

In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

This chapter isn’t about risk or leverage. Phil present a few smart, practical ideas you can use as a hedge against inflation as well as hedging strategies designed to assist you in staying ahead of the markets.

Some other great content in this free eBook includes:

 

·       How 2017 Will Affect Oil, the US Dollar and the European Union

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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