Trading Tips Blog

Building product and systems manufacturer Johnson Controls International (JCI) has moved 22 percent higher in the past year. One trader sees further upside ahead for shares in the next three months. That’s based on the October $67.50 calls. With 129 days until expiration, 11,121 contracts traded compared to a prior open interest of 114, for a 98-fold jump in volume in the past year. The buyer of the calls paid $2.00 to make the bullish bet. Shares recently traded for about $63.50, ...
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Most investment analysis tries to put a company into either a growth category, or a value category. Fortunately, some stocks offer both at the same time. With some sectors of the market rallying strongly and value out of reach, being able to buy value while also seeing a move higher is huge. And with a solid valuation, the share price can move higher from both higher earnings growth and a higher valuation multiple as the company grows. One company exhibiting this growth ...
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Tami Erwin, a director at Deere & Co (DE), recently bought 675 shares. The buy increased her stake by 29 percent, and came to a total cost just under $250,500. This marks the only insider buy at the company over the past two years. Company executives have otherwise exclusively been sellers over the past two years. However, those sales have come following the exercise of stock options. Overall, company insiders own 0.2 percent of shares. The agricultural equipment manufacturer is up about ...
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Retail game store GameStop (GME) dropped following the announcement that the company CEO was departing. One trader sees shares rebounding from that drop in the coming days. That’s based on the June 30 $22 calls. With 17 days until expiration, 10,388 contracts traded compared to a prior open interest of 250, for a 42-fold rise in volume on the trade. The buyer of the calls paid $1.29 to make the bullish bet. Shares last traded around $21.50, so shares would need to ...
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Companies often fall quickly on bad news. Sometimes, the news is terminal for the company, like a bank being seized and closed down. But most of the time, bad news hits a share price harder than it needs to. That creates a buying opportunity. It’s just important to separate permanent bad news from temporary bad news. As long as a company can continue operating, it’s likely to overcome its challenge and move higher in time. Right now, cryptocurrency exchanges have taken a ...
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Johan Hart, President and CEO at Red Robin Gourmet Burgers (RRBG), recently bought 15,000 shares. The buy increased his stake by 4 percent, and came to a total cost just over $193,000. He was joined by a company director, who bought 4,340 shares valued at $55,300. Over the past two years, insiders have been buyers of shares, at prices varying from half of where shares trade today to nearly double where shares now trade. Overall, insiders own 3.4 percent of shares. The ...
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Metaverse gaming company Roblox (RBLX) has been a solid performer, with shares up 26 percent over the past year. One trader is betting on shares giving up some of their gains in the coming weeks. That’s based on the June 30 $36 puts. With 21 days until expiration, 3,063 contracts traded compared to a prior open interest of 127, for a 24-fold rise in volume on the trade. The buyer of the puts paid $0.79 to make the bearish bet. Shares recently ...
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While the market has held up well thanks to the strong performance of tech stocks, that trend won’t last. It’s possible the overall market could decline as tech stocks shift lower. But we could also see a rotation out of tech and into other sectors. That’s why several parts of the market look attractive now. Many sectors didn’t join the market’s rally, or have since moved to re-test lows from last year. They could be a potential buy. For instance, the telecom ...
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