Trading Tips Blog

Shares of online retailer Shopify (SHOP) have shed nearly 80 percent of their value in the past year as tech stock valuations have dropped. One trader sees shares potentially stabilizing and moving higher from here. That’s based on the November $25 calls. With 112 days until expiration, 25,039 contracts traded compared to a prior open interest of 115, for a staggering 218-fold jump in volume on the trade. The buyer of the calls paid $12.35 to get in. The stock recently traded ...
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The current earnings season is showing which companies can fare well with high inflation right now, and which companies are struggling. While a company may report far different earnings than average right now, companies with high profit margins will likely continue to grow in time. That’s because these companies can either reinvest at a high rate of return, or give capital back to shareholders via dividends or share buybacks. One company faring well right now and posting a strong profit margin is ...
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Michael Dumais, a director at Baker Hughes Company (BKR), recently added 10,000 shares. The buy increased his holdings by nearly 67 percent, and came to a total price of just under $244,000. This marks the first insider buy at the company since September 2020. Otherwise, company insiders have been regular and steady sellers of shares in the past two years, with a more even mix of buyers and sellers going back to 2019 and early 2020. Overall, insiders at the company own ...
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Shares of pesticide control company Rollins Inc. (ROL) have traded flat over the past year. One trader sees the possibility for a decline in the weeks ahead. That’s based on the August $35 puts. With 22 days until expiration, 12,561 contracts traded compared to a prior open interest of 206, for a 61-fold rise in volume on the trade. The buyer of the puts paid $1.88 to get into the trade. The stock recently traded just over $36, so the stock would ...
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Traders have largely priced in a recession, with slowing growth all but certain for some time to come. The slowdown is being done in order to combat high inflation. Part of that is to lower prices. That could cause some big changes for retail companies. Investors already saw Walmart (WMT) warn that they would miss their full-year profit target, as a number of items would have to go on sale in order for the company to clear its excess inventory. While that’s ...
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B. Riley Financial, a major holder at Alta Equipment Group (ALTG), recently added 20,243 shares. The buy increased the fund’s stake by 0.3 percent, and came to a total purchase price of just under $205,000. The fund has been a regular buyer of shares over the past few months. Plus, back in May, two directors and the company CEO were also buyers as well. The last insider sale occurred in late 2021. Overall, company insiders own 21.7 percent of shares. Shares of ...
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Shares of medical diagnostic device company Abbott Laboratories (ABT) are down just under 10 percent in the past year. One trader is betting that shares will trend lower in the coming months. That’s based on the November $80 puts. With 114 days until expiration, 11,118 contracts traded compared to a prior open interest of 118, for a massive 118-fold rise in volume on the trade. The buyer of the puts paid $0.68 to make the trade. The stock recently traded for around ...
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The past few years has been great for some sectors. For others, it’s been tough. The restaurant space has had to rapidly change to pandemic protocols, a rise in takeout orders, and increased outdoor dining, to say nothing about supply chain issues. However, many of these companies have been holding up well. In a potentially slowing economy, though, those offering fares with lower-priced items will likely hold up the best – and may even grow in today’s environment. That’s potentially good news ...
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