Trading Tips Blog

Pizza chain Papa John’s International (PZZA) has lost nearly half its value over the past year amid a slowdown in consumer spending on dining. One trader sees further weakness in the months ahead. That’s based on the October $40 puts. With 67 days until expiration, 7,988 contracts traded compared to a prior open interest of 338, for a 24-fold rise in volume on the trade. The buyer of the puts paid $2.15 to make the bearish bet. Papa John’s recently traded for ...
Read More About This

With the S&P 500 swinging by 100 points or more in daily trading, or the Dow making 1,000 point moves it’s easy to get caught up in the fear. To get past the fear, investors should focus on the facts. One fact of the past few weeks is that the economic data is okay. We’re not plunging into a recession right now, although growth is slowing. The Fed is on track to lower interest rates next month. All to plan. However, the ...
Read More About This

William Hornbuckle, President and CEO of MGM Resorts International (MGM), recently bought 58,900 shares. The buy increased his position by 12%, and came to a total cost of $1.99 million. A company director bought 147,500 shares on the same day, shelling out $4,986,090 to increase his stake by 9%. And the company CFO bought $340,000 in shares, also on the same day. These mark the first insider buys at MGM in the past two years, reversing a trend of sales. Overall, Read More About This

Rideshare company Lyft (LYFT) sank over 17% earlier this week when it reported earnings. Shares are now slightly down for the year, and one trader sees further downside through the end of next year. That’s based on the December 2025 $8 puts. With 497 days until expiration, 45,577 contracts traded compared to a prior open interest of 613, for a 74-fold rise in volume on the trade. The buyer of the puts paid $1.70 to make the bearish bet. Lyft shares recently ...
Read More About This

The stock market rally has been hit by a massive shock. Several concerns have come together at the same time to create a big selloff. However, the markets may be fearful, but as long as companies can continue to grow their earnings, their share price will recover over time. Tech companies may face increasing skepticism amid this latest market selloff. But even high-flying tech companies are high-flying for a reason. That’s because they’re capable of massively growing their earnings, even right ...
Read More About This

Amnon Shashua, President and CEO of Mobileye Global (MBLY), recently bought 631,963 shares. The buy increased his position by 18%, and came to a total cost of $10.4 million. This is the most recent insider buy since a director bought shares in late April, paying just over $100,000 for 3,611 shares. Other directors have been buyers this year and into last year. The last inside sale occurred over a year ago, from a major holder who exited their position. Overall, Mobileye ...
Read More About This

Capital markets giant Jefferies Financial Group (JEF) is up 49% over the past year, far exceeding the returns on the S&P 500. One trader sees shares pulling back over the coming months. That’s based on the December $50 puts. With 134 days until expiration, 6,000 contracts traded compared to a prior open interest of 186, for a 32-fold rise in volume on the trade. The buyer of the puts paid $2.40 to make the bearish bet. Jefferies shares recently traded for about ...
Read More About This

Investors looking for a place to hide in the stock market have limited options. When markets selloff, correlations tend to rise, and great companies get thrown out with the genuinely risky ones. That’s why a market selloff is a great opportunity for buying excellent companies at reasonable prices. Investors can further improve their odds by looking for companies that have a history of even holding up during bear markets. There’s no telling if we’ve seen the furthest back stocks will drop to ...
Read More About This