Trading Tips Blog

For long-term investors, there’s no better place to be than in industry leaders. Every industry has one. The company that has better products and profit margins than competitors. In a bull market, they’re correspondingly more expensive. In a bear market, that may be true… but the company’s valuation may be better. That’s why patient investors can pick up great companies at a far more reasonable value during a bear market. Doing so can lead to market-beating profits on a rebound. One company ...
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Lutke Tobias, a director at Coinbase Global (COIN), recently bought 10,520 shares. The buy increased his holdings by 7 percent, and came to a total cost of just over $365,000. The director has been a regular buyer of shares, with over a dozen purchases since August. Other company executives have exercised options or sold shares over the same time, even as the stock has been declining heavily in recent months. Overall, company insiders own 1.8 percent of the cryptocurrency brokerage. Coinbase shares ...
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Shares of theater chain AMC Entertainment Holdings (AMC) have shed 80 percent of their price over the past year as the company has lost its luster as a “meme stock.” One trader sees a further decline ahead for shares. That’s based on the April $3 puts. With 114 days until expiration, 15,957 contracts traded compared to a prior open interest of 104, for a staggering 153-fold rise in volume on the trade. The buyer of the puts paid $1.43 to make ...
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The holiday season has been challenging. Overall spending is up, but not enough to cover the change in inflation over the past year. Consumer savings are down, and credit card spending is on the rise. That could push consumer spending lower. As a major part of the economy, that’s not good. However, there’s a niche for retail spending that’s been growing tremendously in recent years. And a few companies behind that trend stand to benefit. That trend is the rise of the ...
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Hill Path Capital Partners, a major holder of Dave & Busters Entertainment (PLAY), recently added 535,000 shares. The buy increased the fund’s holdings by 9 percent, and came to a total cost just over $17.9 million. That’s on top of a 353,500 share buy made by the fund earlier in the month. That came to a $12.1 million buy that increased the fund’s position by 6 percent. Company insiders have generally been buyers this year, with the last sale occurring in ...
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Shares of electronics retailer Best Buy Company (BBY) are down about 18 percent over the past year. One trader sees a bigger drop ahead. That’s based on the March $55 puts. With 80 days until expiration, 6,003 contracts traded compared to a prior open interest of 132, for a 46-fold rise in volume on the trade. The buyer of the puts paid $0.62 to get into the bearish trade. Shares recently traded for about $80, so they would need to drop ...
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In a rough market, even great companies will miss on earnings. But how they miss can be illustrative of their potential future returns. For instance, with inflation data coming down, companies dealing with high costs could see that factor fade away. With Wall Street looking at each quarter’s numbers compared to the year before, declining costs could lead to a big move higher for any company with something positive to report. For instance, Carnival Cruise Lines (CCL) reported a narrower loss in ...
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Chubb Caldecot, a director at Flowers Foods (FLO), recently added 2,000 shares. The buy increased his holdings by 8.7 percent, and came to a total cost just under $57,000. This is the first insider buy since the director last bought shares in August, picking up 3,000 shares for just over $82,000. Over the past year, there have been a number of large insider sales, including a 75,400 share sale by the company CEO. Even with the sizeable sales lately, insiders own ...
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