Trading Tips Blog

Shares of apparel manufacturing company
FIGS, Inc (FIGS) have slid about 75 percent in the past year. One trader sees further downside for the company in the months ahead. That’s based on the October $7.50 puts. With 130 days until expiration, 5,202 contracts traded compared to a prior open interest of 152, for a 34-fold rise in volume on the trade. The buyer of the puts paid $1.18 to bet on a further downside in shares. The stock last traded for about $8.15, ...
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Consumers may be cutting back on higher-priced goods right now as housing and fuel costs have been on the rise. But for some consumer goods, raising prices to contend with inflation hasn’t been a problem. These consumer goods companies are thus able to maintain their profit margins, even as other companies are facing a squeeze thanks to the high rate of inflation right now. Such companies also provide investors with a safe-haven in the stock market, as growth names have fallen ...
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Albert Monaco, a director at
Weyerhaeuser (WY), recently picked up 3,000 shares. The buy increased his stake by about 12 percent, and came to a total price of just over $115,000. This marks the first insider buy at the company in over a year. Company executives have been sizeable sellers of shares over the past year. Going further back, there’s been a more even mix of insider buys by directors and sales from company executives. Overall, company insiders own about 0.2 percent ...
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Shares of oil and gas exploration company
Comstock Resources (CRK) have soared 256 percent in the past year. One trader is betting on a further rally higher for the energy company. That’s based on the September $22 calls. With 98 days until expiration, 10,096 contracts traded compared to a prior open interest of 154, for a 66-fold jump in volume on the trade. The buyer of the calls paid $2.83 to get into the trade. Shares last traded just over $21, so they’d ...
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Consumers have been spending more in the past year, but overall sales are down. It’s inflation that’s causing the total rise, at least for the moment. Retailers are having to deal with two conflicting issues. Supply chain disruptions are leading to genuine shortages. And consumers cutting back on spending due to inflation is leading to an inventory excess in other areas. “Cheap chic” retailer
Target (TGT) sounded this unusual warning. The company cut its earnings guidance on Tuesday, leading to shares dropping ...
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Edward Shapiro, a director at
United Airlines Holdings (UAL), recently picked up 50,000 shares. The buy represents an initial stake by the director. The total cost to acquire the shares came to just over $2.35 million. This is the first insider buy at the company since late 2020. Over the past three years, company executives have been sellers of shares, with only a handful of buys from company directors. Overall, company insiders own 0.3 percent of shares. The airline company has seen its ...
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Shares of pot stock
Canopy Growth Corp (CGC) are down 84 percent in the past year. One trader is betting that steady downtrend will continue. That’s based on the October $10 puts. With 134 days until expiration, 10,002 contracts traded compared to a prior open interest of 342, for a 29-fold rise in volume on the trade. The buyer of the puts paid $6.23 to make the downside bet. Shares last traded at about $4.25, so the option is priced with no ...
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Companies that lead their industry tend to have some special factor that allows them to make a larger profit than competitors. This can be exploited with higher growth rates… or by using some extra tools to ensure they hold up better than the competition during a market decline. Such tools can come in the form of a dividend, an astute buyback, a major merger, or even splitting shares. A share split may not change the total size of a company, but a ...
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