Unusual Option Activity: The Gap (GPS)

Retailer The Gap (GPS) has been a runaway winner over the past year, with a 205% rally. One trader sees shares climbing even further in the next four months. That’s based on the July $30 calls. With 116 days until expiration, 3,173 contracts traded compared to a prior open interest of 119, for a 27-fold rise in volume on the trade. The buyer of the calls paid $2.60 to make the bullish bet. Gap shares recently traded for about $28.50. The stock ...
Read More
|

Companies Getting Big Funding Could Prove Big Winners

New technologies require massive amounts of capital for research, development, and production. The rise of AI-related trades also means that many chipmakers need to get better at making more advanced semiconductors, and more quickly. Companies in the sector working on that challenge are eligible for funding from the Chips Act, which is designed to increase semiconductor production in the United States and improve competitiveness. It could also be a sign that some chipmakers could be more successful in the years ahead. The ...
Read More
|

Insider Activity Report: Advance Auto Parts (AAP)

Brent Windom, a director at Advance Auto Parts (AAP), recently bought 2,683 shares. The buy came to a total cost of $216,173, and is a new position for the director. The buy was followed up with a purchase of 310 shares from another director, who paid $21,168 to increase her position by 6%. These are the first insider buys of 2024. Last year, a number of company directors were buyers throughout the year, and a company EVP was also a buyer. Overall, ...
Read More
|

Unusual Option Activity: Meta Platforms (META)

Social media giant Meta Platforms (META) is up nearly 150% over the past year. One trader sees further upside in the month ahead. That’s based on the April 26 $550 call options. With 35 days until expiration, 3,839 contracts traded compared to a prior open interest of 108, for a 35-fold rise in volume on the trade. The buyer of the calls paid $14.35 to make the bullish bet. Meta shares recently traded for about $500, so would need to rise about ...
Read More
|

In a Changing Legal Environment, Look for the Beneficiary

Laws change all the time. And lawsuits may not change laws, but they can impact how they’re interpreted. When there’s a big change, some groups stand to profit, while others stand to see a loss. Recently, a lawsuit and settlement changed how real estate listings would be handled by real estate agents. That could drive down the commission costs for buying and selling a home. But it could also mean that another group may profit. That group is real estate websites geared ...
Read More
|

Insider Activity Report: Dollar Tree (DLTR)

Daniel Heinrich, a director at Dollar Tree (DLTR), recently bought 1,000 shares. The buy increased his holdings by 19%, and came to a total cost of $127,850. This marks the first insider activity of the year. Insiders were generally buyers last year, including buys of over $1 million from the company CEO and $200,000 from the company CFO. A major holder also acquired a stake worth over $99 million. Overall, Dollar Tree insiders own 0.3% of shares. The discount retailer has ...
Read More
|

Unusual Options Activity: Northern Oil & Gas (NOG)

Oil and gas exploration company Northern Oil & Gas (NOG) is up 35% over the past year, higher than the overall market. One trader is betting the outperformance will continue in the next six months. That’s based on the September $42 calls. 2,602 contracts traded compared to a prior open interest of 101, for a 26-fold rise in volume on the trade. The contracts have 183 days left until expiration. The buyer of the calls paid $2.30 to make the bullish ...
Read More
|

Buy Now as the Fear Declines In This Space

Last year’s rising bond yields made many defensive, dividend-paying stocks sell off. That’s because their yields needed to move higher to match rising bond yields. That trend largely peaked last October, but many stocks are still well off their old highs, or still look like a value today. That’s especially true for food and snack companies. These stocks were also impacted by the early results of new weight-loss drugs and their uncertainty on sales. That fear is now subsiding. That’s led one ...
Read More
|