Trading Tips Blog

Owner Carl Icahn makes $30 million buy. On Tuesday, August 13th, billionaire investor Carl Icahn bought 4,572,521 more shares of a company he already owns more than 10 percent of, Conduent (CNDT). The stake, costing just under $30 million, increased the size of his holdings by about 14 percent to over 36.2 million shares. Icahn has previously bought shares in May, when he picked up over 6 million shares in three separate purchases. One director has bought this year, and no insiders have ...
Read More About This

September calls bet on a rebound in shares. It’s been a tough year for Kraft-Heinz (KHC). But at least one trader is betting that the company’s post-earnings drop will see a bounce within the coming weeks. On Tuesday, over 12,600 contracts traded on a September $27.50 call option, a nine-fold surge in volume. With 37 days to go, it’s a bet that shares will rally about $1.20 from their current price of about $26.30, or about 4.6 percent. Kraft-Heinz, the branded food giant, ...
Read More About This

CEO, Director pick up over $3.5 million in shares. On Monday, August 12th, CEO Lawrence Culp of General Electric (GE) picked up over 331,680 shares, paying just under $3 million to increase his stake in the company by 54 percent. On the same day, director Thomas Horton picked up over 55,200 shares, paying nearly $500,000. These buys come after the company reported solid earnings, but warned that its commitments to Boeing created some risk as the 737 Max jets remain grounded. General Electric ...
Read More About This

Chief Claims Officer makes $50,000 buy. On Friday, August 9th, Scott St. John, Chief Claims Officer at United Insurance Holdings Corp (UIHC), picked up 4,258 shares of the company, a price that came out to just over $50,000. The buy more than doubled his holdings in the company to 7,712 shares. Insiders at the company have been buyers throughout August so far, including buys from three directors and the CEO. The last insider sale occurred back in March, when shares traded 25 ...
Read More About This

Long-dated, out-of-money calls suggest massive move. Amid options trading on unusual activity on Monday, the $20 January 2021 call options on Pretium Resources (PVG) stood out. With shares around $13.30, the company’s shares would need to rally 50 percent before the option moved in-the-money. With 550 trading days before expiration, and with shares already up 50 percent in the past year, the trade could certainly play out handsomely for traders. Over 4,300 contracts of this option traded Monday, against a prior open interest ...
Read More About This

Director makes $2 million buy. On Thursday, August 8th, Mellody Hobson, a director at JPMorgan Chase (JPM), bought 18,200 shares, increasing her stake to just over 101,300 shares. The total cost of this latest buy came in at just over $2 million. Hobson has been a repeat buyer of shares this year, buying 19,700 shares back in April. Many insiders at the big bank have been sellers of shares this year, although at higher prices than where shares currently trade. JPMorgan Chase is ...
Read More About This

Surge of in-the-money call buying. The highest-volume option trade on Friday occurred in an unusual trade based on shares of General Electric (GE). The January 2020 $6 call options saw a surge in volume. With shares over $9, these options are about 50 percent in-the-money. If GE shares rally, the option should move higher penny-for-penny. If shares drop, they could still have some value at expiration. With the number of unusual options usually focusing on short-term or near-the-money trades, this one stands out ...
Read More About This

There are a lot of ways to make money in the market. But even if you find that rare company that can move ten-fold and provide one of the best profits of your lifetime, that will take time.Most investors get impatient. Trading Tips’ Andrew Packer explains why you should be looking at blue-chip bargains ...
Read More About This