Trading Tips Blog

Historically, most companies focused on one product or service. That eventually saturates the market. Today’s tech companies, particularly software ones, are able to break that cycle with new products or better upgrades to existing software. Companies that also pivot to other opportunities can create big value for themselves and shareholders as well. That’s why so many of today’s big tech names have continued to increase in value, even as some of them have become multi-trillion-dollar companies. One up-and-comer for this club is ...
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Chatham Asset Management, a major holder of R.R. Donnelley & Sons (RRD), has bought another 185,000 shares recently. The buy increased the fund’s stake in the company by nearly 1.75 percent, and came to a total purchase price of just over $1.1 million. This adds to the fund’s purchases of shares from May and June. In total, over the past few months, the fund has bought over 2.4 million shares, and is the sole insider to make any changes. The fund was ...
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Shares of office real estate investment trust (REIT) Boston Properties (BXP) have generally been rising over the past few months. One trader sees a continued rally in shares. That’s based on the November $130 calls. With just over 4 months until expiration, 5,000 contracts traded against a prior open interest of 138, for a 36-fold rise in volume. The buyer of the calls paid about $2.20 for the trade. With shares around $117, they would need to rise $13, or about ...
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Sometimes, a company will be caught in a virtuous loop, where its rising share price attracts analyst upgrades. In turn, the shares rise again, prompting more analysts to turn bullish. While that can sometimes end up looking a little silly in hindsight, for the right company, it may be a sign that growth is taking off. That could be the case with a big growth story in the markets right now, especially when the virtuous cycle leads a company back to ...
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Jeffrey Armstrong, a director at Piedmont Lithium (PLL), recently picked up 2,500 shares. The buy increase his stake by more than 14 percent, and came to a total price of just over $174,000. This follows up from a 4,000 share buy from another director, Susan Jones, the day before. She spent over $292,000 to make the buy. Other than an insider sale around the same time, this is the first insider activity at the firm since 2009. Company insiders overall own ...
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Shares of online travel agency Expedia Group (EXPE) has been trending down slightly in recent months as the market has largely priced in the reopening trade. However, one trader sees shares moving higher in the coming months. That’s based on the November $165 calls. Expiring in 129 days, over 12,810 contracts traded against a prior open interest of 205, for a 62-fold rise in volume. The buyer of the calls paid about $14.40 on average to make the trade. With shares around ...
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Some companies assume that when things are going well, that trend will continue forever. That can sometimes lead to unpleasant surprises. During last year’s pandemic, a number of companies cut or suspended dividends or share buybacks, for instance. However, companies in the commodity space tend to recognize the power of cycles. When things are going well, they may be more inclined to pass the good times on to shareholders rather than overinvest when times are good. Case in point? Royal Dutch Shell ...
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Dustin Moskovitz, President and CEO at Asana (ASAN) recently picked up over 1.1 million shares of the firm. The total cost of the buy came to just under $70 million, and was made over a number of days last month. The buys increased his stake by over 15 percent in total. Over the past few months, other company insiders have generally been sellers, but those total sales have been less than this high level of purchases by the CEO. Overall, company ...
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