Posts Tagged ‘SWHC’

Smith & Wesson Guidance Triggers Bullish Action In Stock, Options

Option activity on Smith & Wesson Holding Corp. suggests some traders may have pulled the trigger on bullish positions on the firearms maker today. SWHC shares are soaring, up nearly 15% at $14.93 as of the time of this writing, after the company updated guidance for the fourth quarter and full fiscal 2015 year (ending April 30, 2015), stating that orders through the fiscal fourth quarter were stronger than previously expected. The company upped its guidance for the quarter, pushing shares in the name to the highest level since June 2014 and sparking heavier than usual options activity. With little more than 60 minutes remaining in the trading session, traders have pushed options volume on SWHC to more than 5,600 contracts as compared to the stock’s average daily options volume of around 400 contracts. The bulk of the activity is in call options, notably the May 15.0 strike contracts. Roughly 2,500 of the 15.0 strike calls have changed hands against zero open interest. Most of the volume appears to have been purchased at a premium of $0.45 each. Buyers of these options stand ready to profit at May expiration in the event that SWHC shares continue to rally, specifically if the stock tops an average breakeven price of $15.45. Smith & Wesson fourth-quarter earnings are estimated for release in the back-half of June.

Chart – SWHC 15.0 strike options most active, specifically May expiry calls


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Volume In Big Lots Put Options On The Rise Ahead Of Earnings

Today’s tickers: BIG, INTC & SWHC

BIG - Big Lots, Inc. – Shares in closeout retailer, Big Lots, are in negative territory this morning, down 2.6% at $35.06 as of 11:00 a.m. ET amid a down day for U.S. equities. The stock popped up on our ‘hot by options volume’ market scanner near the start of the trading session due to heavier than usual trading in September expiry puts. The Sep $32.5 strike puts are the most traded options by volume on BIG thus far in the session, with more than 2,800 lots in play versus open interest of 368 contracts. Time and sales data suggests most of the put options were purchased for an average premium of $0.77 apiece. Put buyers stand ready to profit at expiration should shares in Big Lots drop 9.5% from the current price of $35.06 to settle below the breakeven point at $31.73. Shares in BIG last traded below $31.73 on July 1st. The company’s unconfirmed second-quarter earnings release date is next Thursday, August 22nd.

INTC - Intel Corporation – Trading in weekly options on Intel is mixed this morning, with shares in the chipmaker off 2.0% to stand at $22.12 as of midday in New York. Volume in the newly issued August 23 ’13 expiry options is heaviest in the $22 puts, with more than 18,000 contracts traded thus far in the session. A look at time and sales data suggests that most of the put options were purchased for an average premium of $0.18 apiece. The near-term bearish contracts make money at expiration next week if shares in Intel decline another 1.4% from the current price of $22.12 to breach the effective breakeven point on the downside at $21.82. Conversely, fresh interest in the Aug 23 ’13 $22.5 strike calls indicates some traders are…
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TripAdvisor Options Draw A Crowd As Shares Visit Fresh Record Highs

 

Today’s tickers: TRIP, SWHC & ARO

TRIP - TripAdvisor, Inc. – Shares in the online travel company rallied nearly 7% to a fresh record high of $50.88 on Wednesday morning on positive comments and a target share price increase to $52.00 from $50.00 at Deutsche Bank. TripAdvisor’s shares have increased more than 75% during the past four months, rebounding explosively off a 52-week low of $28.63 set back in November of 2012. Options traders positioning for TRIP’s shares to extend gains during the next few months appear to be buying upside calls across several expiries today. Near-term bulls snapped up around 1,600 calls at the Mar. $55 strike for an average premium of $0.09 apiece this morning, and may profit at expiration next week in the event that shares in the name surge 8.3% to top the average breakeven point at $55.09. The $55 strike call options expiring in April and June are also active, with traders picking up around 550 lots at the June $55 strike for an average premium of $0.80 each, and roughly 650 of the June $55 strike calls at an average premium of $2.29 a-pop in the early going today. Finally, it looks like one options strategist has generated substantial paper profits on a bullish spread initiated back on February 12th. The sizable one-by-two ratio call spread, constructed with the purchase of 1,500 Mar. $47 calls at a premium of $2.40 each against the sale of 3,000 Mar. $50 calls at a premium of $1.20 apiece, was purchased flat and makes maximum potential profits of $3.00 per contract if shares in TRIP settle at $50.00 at March expiration next week.

SWHC - Smith & Wesson Holding Corp. – Gun manufacturer, Smith & Wesson, raised its profit and sales forecast for fiscal 2013, reported third-quarter net income that more than tripled versus the year ago quarter on a near 40% rise in sales for the period, yet shares in the firearms maker are selling off today, down 6% at $9.60 as of the midday…
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Bullish Bets On Burritos And Handguns Payoff As CMG, SWHC Soar

 

Today’s tickers: CMG, SWHC & MIPS

CMG - Chipotle Mexican Grill, Inc. – Traders who initiated bullish bets on burrito maker, Chipotle Mexican Grill, on Thursday are sitting on serious overnight paper profits this morning, with shares in the restaurant operator up as much as 6.75% to hit $322.74 in the first half of the session. Some strategists hungry for an end-of-week rally in CMG looked to the weekly options contracts that are now in their final day of trading. Call open interest at the Sep. 07 ’12 $300 strike increased by 773 contracts since the prior session to total 1,501 contracts, with the majority of the fresh interest initiated by buyers paying an average premium of $0.30 per contract on Thursday morning. At the time of purchase, the calls were out-of-the-money given the underlying share price of roughly $294.00. But, by the close of trading on Thursday, the call options were squarely in-the-money with the stock ending the session at $302.33. The rally in CMG shares yesterday lifted premium on the calls to around $3.40 each by the end of the day, an 11-fold increase over the $0.30 per contract paid by early-bird buyers on Thursday morning. Fast forward to Friday morning; the sharp rally in Chipotle shares now has those $300 strike weekly calls deep in-the-money with a bid/ask spread of $22.20/$23.20 as of 11:30 a.m. in New York. Selling-to-close the positions now at $22.20 would make for overnight gains of around 7,300%. Traders could also decide to roll the calls out to maintain upside exposure in the name, or may hold the contracts through expiration and take delivery of the stock at an effective price of $300.30 a share. Like-minded bulls that purchased upside calls in the newly issued Sep. 14 ’12 expiration weekly options yesterday are seeing big gains in the value of their positions, as well.

SWHC - Smith & Wesson Holding Corp. – Shares in gun maker, Smith &…
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Options Combo Play Portends Youku Pullback Next Week

Today’s tickers: YOKU, SWHC & HOT

YOKU - Youku Inc. – Shares in the largest video-sharing website in China have been going gangbusters since the start of the New Year, but a stock and option combination play on Youku Inc. this morning suggests fortunes may reverse when the Beijing-based Company reports fourth-quarter results next week. The stock has rallied 60.0% year-to-date, gaining 4.6% in today’s session to touch an intraday high of $25.90. At first glance, the large 9,231-lot Mar. $28/$30 debit call spread purchased for a premium of $0.45 per contract on YOKU looks like a bullish bet on the Internet stock. However, the sale of 120,003 shares of the underlying stock at $25.40 each linked to the call spread on a 13 delta paints a different picture. Rather than a bet YOKU will extend its run up, the call spread appears to be a hedge against that outcome. The bearish player is limiting losses faced on the upside while positioning to profit on the short stock leg of the transaction if shares in the video-sharing site slump going forward. YOKU reports earnings on Wednesday of next week after the close.

SWHC - Smith & Wesson Holding Corp. – Gun manufacturer, Smith & Wesson Holding Corp., reported better-than-expected third-quarter earnings and raised full year net sales guidance after the bell on Thursday, sending shares in the name up as much as 25.0% to an intraday- and fresh 2-year high of $7.09 this morning. It looks like some options strategists who initiated bullish positions on the stock earlier in the week are making a killing today. One trader appears to be taking profits and establishing a new bullish stance on Smith & Wesson in the April expiry calls. Open interest patterns suggest the options player originally picked up 500…
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Investor Uses Options to Strangle Ford’s Share Price through June 2010

Today’s tickers: F, WLP, IBN, SWHC, UNG, SNDK, MU, DTV, FDO & MON

F – Ford Motor Co. – A short strangle play in the June contract on Ford suggests shares of the automaker are likely to remain range-bound through the next six months to expiration. Ford’s shares continued to rally during the current session following yesterday’s news that the firm enjoyed a 33% increase in December auto sales over the previous year. Shares reached a new 52-week high of $11.42 today on a 4.20% increase over Tuesday’s close. The sold strangle transaction implies one investor expects the recent boom to dissipate along with option implied volatility. The strangler sold 15,000 puts at the June $10 strike for a premium of $0.80 cents apiece in combination with the sale of 15,000 calls at the higher June $12 strike for $1.10 each. The investor pockets a gross premium of $1.90 per contract, which he keeps if Ford’s share price stays within the confines of the strike prices described through expiration. The premium received provides limited protection should shares swing outside the boundaries. But, the investor faces losses in the event that shares move above the upper breakeven price of $13.90, or trade beneath the lower breakeven point at $8.10 by expiration in June. It is possible the strangle-seller expects to benefit from a move lower in volatility. Option implied volatility on Ford rose significantly by 18.87% over the past 48-hours, from a low of 40.85% on Tuesday morning, to today’s high of 48.56%. Shrinkage in the reading of volatility on Ford may allow the investor to close out the short position at a profit because, as a general rule, declines in volatility weigh down option premiums.

WLP – WellPoint, Inc. – Shares of the health and benefits company reached another new 52-week high of $61.45 today, adding to gains experienced earlier this week. The stock appreciated 5.5% from $58.27 on the final day of 2009, up to $61.45 today, the highest price attained in the past 12 months. Option traders displayed diverse strategies on WellPoint during the trading day. Near-term players banked gains by selling 7,000 calls at the now in-the-money January $60 strike for a premium of $1.70 apiece. One trader rolled 3,500 calls forward to a higher strike by selling-to-close 3,500 lots at the January $60 strike for $2.00 each, and buying up 3,500 calls at the higher February…
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Phil's Favorites

What the huge COVID-19 testing undercount in the US means

 

What the huge COVID-19 testing undercount in the US means

Health care workers use a nasal swab to test a person for COVID-19 in Pembroke Park, Florida. Joe Raedle / Getty Images News

Courtesy of Melissa Hawkins, American University

Researchers from the Centers for Disease Control and Prevention and other institutions recently published a study which estimated that the true number of people infected by COVID-19 could be six to 24 times high...



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Biotech/COVID-19

What the huge COVID-19 testing undercount in the US means

 

What the huge COVID-19 testing undercount in the US means

Health care workers use a nasal swab to test a person for COVID-19 in Pembroke Park, Florida. Joe Raedle / Getty Images News

Courtesy of Melissa Hawkins, American University

Researchers from the Centers for Disease Control and Prevention and other institutions recently published a study which estimated that the true number of people infected by COVID-19 could be six to 24 times high...



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Kimble Charting Solutions

Is the US Dollar Nearing Bottom? Or Is It Different This Time?

Courtesy of Chris Kimble

The U.S. Dollar ran into a perfect storm in 2020: a pandemic (Coronavirus), an easy Federal Reserve, and trillions of dollars in government stimulus.

The result has been a steep decline in the greenback.

Looking at today’s chart, however, suggests that the US Dollar may be nearing a bottom. That is if recent history proves true.

The Dollar is testing its 9-year bullish up-trend support at (1) and US Dollar bulls are disappearing. In fact, investors are the least bullish the US Dollars (20% bulls) since 2011 at (2). Notice that each ...



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ValueWalk

Price Gouging Issues Grow As Digital Shopping Takes Over

By Jacob Wolinsky. Originally published at ValueWalk.

The following is a Q&A session with Omri Traub, Co-founder & CEO of Popcart. Price gouging is the latest problem stemming from the pandemic. Popcart, a price comparison service, is out with brand new data that shows pre-covid and post-covid numbers.

Q2 2020 hedge fund letters, conferences and more

Can you tell us about your background and how your experience led to the development of Popcart and Supply Finder?

I have been working in the Boston tech scene for over 20 years.  Popcart is my third startup.  Most r...



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Zero Hedge

Futures Jump, Gold Soars As Dollar Destruction Accelerates

Courtesy of ZeroHedge View original post here.

Everyone is piling into everything.

That's probably the best way to describe the market frenzy this week which has seen an all time high in the Nasdaq and gold, an all time low 10Y yields, and an S&P that is just shy of its all time highs.

Sure enough, on Wednesday, gold jumped to a new record high pushing further past $2,000...

... as the dollar tumbled on U.S. Treasury yields falling to fresh all time lows, and expectations of mo...



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Chart School

RTT browsing latest..

Courtesy of Read the Ticker

Please review a collection of WWW browsing results. The information here is delayed by a few months, members get the most recent content.



Date Found: Sunday, 29 March 2020, 07:00:37 PM

Click for popup. Clear your browser cache if image is not showing.


Comment: Silver Shorts Are In a Bind | Ted Butler youtu.be/qQc0AoJp-Q8



Date Found: Monday, 30 March 2020, 05:21:45 PM

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Comment: 5 Questions From You for Luke Gromen youtu.be/nVZD_fuxbQE


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The Technical Traders

THE MARKETS POST COVID AND DEBT MONETIZATION

Courtesy of Technical Traders

Chris joins Boom Bust host Sara Montes de Oca and Michael Pento of Pento Portfolio Strategies to talk FAANG, corporate earnings, the Feds, the growing US debt, and pandemic trading.  How will the markets react given permanent changes in how people work and live their lives? What will happen given the Feds strategy of debt monetization?

Learn more about our latest research and alerts on Gold, Silver, Oil, and Equities at www.TheTechnicalTraders.com.

...

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Digital Currencies

Twitter Says "Human Error" And "Spear-Phishing Attack" Responsible For Massive Bitcoin Hack

Courtesy of ZeroHedge

Twitter suffered from a major hack about two weeks ago and has now said that its staff was tricked by "spear-phishing", which is a targeted attack to trick people into simply handing out their passwords. 

Twitter staff were targeted through their phones, according to a new report from the BBC. The attacks then allowed hackers the ability to Tweet from celebrity Twitter accounts. Twitter has said it was "taking a hard look" at how it could improve its permissions and processes.

"The attack on July 15, 2020, targeted a small number of employees through a phone spear phishing attack. This attack relied on ...



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Lee's Free Thinking

Texas, Florida, Arizona, Georgia - The Branch COVIDIANS Are Still Burning Down the House

 

Texas, Florida, Arizona, Georgia – The Branch COVIDIANS Are Still Burning Down the House

Courtesy of Lee Adler, WallStreetExaminer 

The numbers of new cases in some of the hardest hit COVID19 states have started to plateau, or even decline, over the past few days. A few pundits have noted it and concluded that it was a hopeful sign. 

Is it real or is something else going on? Like a restriction in the numbers of tests, or simply the inability to test enough, or are some people simply giving up on getting tested? Because as we all know from our dear leader, the less testing, the less...



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Members' Corner

Coronavirus, 'Plandemic' and the seven traits of conspiratorial thinking

 

Coronavirus, 'Plandemic' and the seven traits of conspiratorial thinking

No matter the details of the plot, conspiracy theories follow common patterns of thought. Ranta Images/iStock/Getty Images Plus

Courtesy of John Cook, George Mason University; Sander van der Linden, University of Cambridge; Stephan Lewandowsky...



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Insider Scoop

Economic Data Scheduled For Friday

Courtesy of Benzinga

  • Data on nonfarm payrolls and unemployment rate for March will be released at 8:30 a.m. ET.
  • US Services Purchasing Managers' Index for March is scheduled for release at 9:45 a.m. ET.
  • The ISM's non-manufacturing index for March will be released at 10:00 a.m. ET.
  • The Baker Hughes North American rig count report for the latest week is scheduled for release at 1:00 p.m. ET.
...

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Promotions

Free, Live Webinar on Stocks, Options and Trading Strategies

TODAY's LIVE webinar on stocks, options and trading strategy is open to all!

Feb. 26, 1pm EST

Click HERE to join the PSW weekly webinar at 1 pm EST.

Phil will discuss positions, COVID-19, market volatility -- the selloff -- and more! 

This week, we also have a special presentation from Mike Anton of TradeExchange.com. It's a new service that we're excited to be a part of! 

Mike will show off the TradeExchange's new platform which you can try for free.  

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Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

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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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