Trading Tips Blog

Offshore oil and gas drilling supplier
Transocean (RIG) is up nearly 50 percent over the past year. However, one trader sees shares declining in the next 15 months. That’s based on the July 2024 $7.00 puts. With 466 days until expiration, 5,326 contracts traded compared to a prior open interest of 133, for a 40-fold rise in volume on the trade. The buyer of the puts paid $2.05 to make the bearish bet. Transocean shares recently traded just under $6.50, leaving this option ...
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Wall Street is fond of saying that investors shouldn’t look to catch a falling knife. However, once a stock has had a big drop, fears of a further decline tend to leave investors on the sidelines. That can mean missing out on the early part of a rally off extreme lows, which can be a big part of a total bull rally. That means it’s often ideal to buy when there’s still some lingering fear. Right now, the regional banks are teetering ...
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Blackstone Holdings III LP, a major holder at
Cheniere Energy Partners LP (CQP), recently added 96,470 shares to their holdings. The buy increased the fund’s position by about 1 percent, and came to a total cost just over $4.5 million. The fund later added another 27,706 shares, at a cost of just over $1.3 million. The fund has been a notable buyer of shares over the past two years. Otherwise, one director made a minor sale last year. Overall, insiders own 49.6 ...
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Gold mining and exploration company
Gold Fields Limited (GFI) has soared 40 percent in recent weeks as gold prices have once again topped $2,000 per ounce. One trader sees a further rally ahead. That’s based on the January 2024 $25 calls. With 287 days until expiration, 12,751 contracts traded compared to a prior open interest of 130, for a massive 98-fold jump in volume on the trade. The buyer of the calls paid $0.58. Shares recently traded for about $14.50. Shares would need ...
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There’s a common strategy for a company to take a short position in a company, then issue a research report explaining why. Typically, such reports will take company statements and claim that they’re embellished in some fashion. Often, these reports aren’t true, or have an element of truth to them that are grossly exaggerated, even if allowed under accounting standards. But in the short term, shares can get knocked down, allowing the short seller to profit quickly. The most recent short seller ...
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Rosalind Brewer, CEO at
Walgreens Boots Alliance (WBA), recently bought 10,000 shares. The buy increased her stake by 3 percent, and came to a total cost of $339,510. This marks the first insider buy at the company in the past two years. The company’s Chief Medical Officer exercised stock options and sold shares late last year, as did a director. The sales slightly exceed the amount of this recent CEO buy. Overall, insiders own 17.2 percent of shares. The drugstore chain has seen ...
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Search engine giant
Google (GOOGL) has been trending higher in the past few weeks following a massive decline last year. One trader sees a further move higher in the weeks ahead. That’s based on the April 28 $114 calls. With 21 days until expiration, 5,362 contracts traded compared to a prior open interest of 124, for a 43-fold rise in volume on the trade. The buyer of the calls paid $1.33 to make the bullish bet. Shares recently traded for about $105, ...
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Many companies hire as they need to when growing like gangbusters. But when things go down, it’s a time to assess the size of a company and its needs, no matter what sector it’s in. For some companies, the worst bloat can come from its executive offices. The growth of middle management can cause a big payroll expense to build up, and take away capital from lower-level workers that make a company’s success possible. That’s why a number of big-name, labor-intensive companies ...
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