Trading Tips Blog

Economies change over time. The U.S. economy is largely driven by consumer spending. Most of the goods that consumers spend money on are made overseas, where labor is cheaper. But that’s starting to change. A big reason why is automation. Rather than employ factory workers, technology allows for goods to be made with minimal human interaction. That’s making it easier for manufacturers to operate in the high-cost United States. Companies that play to that trend have years of growth ahead. In the ...
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John Donovan, a director at Lockheed Martin (LMT), recently added 556 shares to his holdings. That increased his stake by 31 percent, and came to a total cost just under $251,000. The director was responsible for the last insider activity, with a 568 share buy back in October. Over the past year, the director has made four purchases. And one company vice president has been a seller of shares. Overall, company insiders own 0.1 percent of shares. The defense contractor is up ...
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Gold mining company AngloGold Ashanti (AU) has fared well in the past year, with a 20 percent gain. One trader sees a pullback in the coming months. That’s based on the April $20 puts. With 80 days until expiration, 5,002 contracts traded compared to a prior open interest of 115, for a 44-fold rise in volume on the trade. The buyer of the puts paid $0.90 to make the bearish bet. Shares currently trade just under $22, so they’d need to drop ...
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When markets are running scared, it may be prudent to look at companies making new highs. Chances are there’s something going on with the underlying business that explains why they’re bucking the trend. And chances are that trend will continue. There are always a few companies making new 52-week highs, even in a challenging market. The past few months have also seen a rotation towards more value-oriented and defensive stocks moving higher. One such play is telecom AT&T (T). The company hasn’t ...
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Michael Kennedy, a director at Old Republic Insurance (ORI), has been a buyer of 2,950 shares. The buy increased his holdings by 40 percent, and came to a total cost just under $68,500. Insiders have generally been buyers over the past year, with company directors picking up small sums of shares. One company executive sold 11,000 shares over the past year, receiving just over a quarter million dollars. Overall, company insiders own 7.6 percent of shares. The property and casualty insurance company ...
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Retail apparel company Abercrombie & Fitch (ANF) have seen shares drop by over 20 percent in the past year. One trader is betting on more long-term pain for the company in the year ahead. That’s based on the January 2024 $15 put options. With 357 days until expiration, 5,000 contracts traded compared to a prior open interest of 112, for a 44-fold rise in volume on the trade. The buyer of the puts paid $0.88 to bet on a further drop ...
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Wall Street treats stocks like they’re sprinting. Each quarter, beating or missing investment results can lead to a big move higher or lower. But investing is like a marathon. Companies that consistently grow over time are rewarded over the long haul, no matter what the market is doing in the short-term. Investors can take advantage of short-term market fears to capitalize on great companies by buying them at a discount, and then letting the long-term take care of itself. One such slow ...
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Francis Blake, a director at Delta Air Lines (DAL), recently bought 12,880 shares. That came to a total cost just under $497,000, and increased the director’s holdings by 16 percent. This marks the first buy at the airliner since another director bought $293,000 in shares back in July. A third director also rounded out the total insider buying over the past year. Otherwise, company executives have been modest sellers of shares in the ensuing months. Overall, company insiders own 0.3 percent ...
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