Trading Tips Blog

Shares of online board
Pinterest (PINS) have shed 75 percent of their value in the past year. One trader sees the chance for a further decline in the coming few days. That’s based on the July 1 $15 puts. With 8 days until expiration, 19,778 contracts traded compared to a prior open interest of 116, for a 171-fold rise in volume on the trade. The buyer of the puts paid $0.10 to get into the trade. The stock recently traded for around $18, ...
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Some sectors of the stock market perform differently at different times. Commodity producers and utilities have held up somewhat well in the current bear market, even as tech stocks have been hit hard. Another area hit hard has been financial stocks, particularly banks. These companies have had to contend with rising interest rates. Demand for mortgages has stalled, which tends to be a big source of business, as well as mergers and acquisitions for big banks. That said, valuations for a number ...
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Brian Ferraioli, a director at
Vistra Corp (VST), recently picked up 8,050 shares. The buy increased his holdings by nearly 12 percent, and came to a total purchase price of just over $181,000. The buy came three days after the company president and CEO picked up 32,000 shares for just over $547,000. Over the past three years, company insiders have been active as both buyers and sellers, with buyers having a slight edge over that time period. Overall, insiders at the company own ...
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Shares of advertising agency
Magnite (MGNI) have shed two-thirds of their value in the past year. One trader sees further downside going into the latter half of the year. That’s based on the January 2023 $12.50 puts. With 212 days until expiration, 3,950 contracts traded compared to a prior open interest of 131, for a 30-fold rise in volume on the trade. The buyer of the puts paid $4.30 to get in. Shares recently traded for just over $9.50, meaning the options are ...
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Markets have rapidly repriced in the growth prospects for a number of companies. While some of the most speculative names have taken the biggest dive, even great companies that have remained profitable while showing slow and steady growth are at a point where they’ve oversold. For long-term investors, this marks the best point in years to buy growth at a respectable valuation. That’s especially true when it involves companies playing to strong growth trends now. Investors looking forward can get great returns ...
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Holden Lewis, CFO at
Fastenal (FAST), recently added 1,000 shares. The buy increased his stake by nearly 12 percent, and came to a total price of just under $50,000. He was joined by another EVP, who also picked up 1,000 shares on the same day for about the same price. This adds to further insider buys in recent months, from company executives and directors alike. Going back over the past three years, there has been a mix of insider buys and sells. Overall, ...
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Shares of vehicle resale platform
Carvana (CVNA) are down over 91 percent in the past year. One trader sees a rebound ahead for the stock in the next 18 months. That’s based on the January 2024 $60 calls. With 577 days until expiration, 10,283 contracts traded compared to a prior open interest of 130, for a 95-fold surge in volume on the trade. The buyer of the calls paid $5.70 to get into the trade. Shares recently traded around $24, so they ...
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A bear market will take down most stocks, irrespective of how an individual company is performing. This creates a situation where investors can set themselves up to buy great companies at reasonable prices. A great company can be an industry leader, or one that has some sort of competitive advantage or potential sources of growth. Whatever the reason, when markets recover, great companies tend to resume their long-term compounded growth over time. Investors can buy nearly any big tech company at current ...
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