Trading Tips Blog

Put buying suggests drop ahead. Over 2,600 contracts traded on the January $120 put options on The Howard Hughes Corporation (HHC), up from a volume of 100. That’s a 27-fold increase in volume, a very unusual move in a name that typically has little options activity. With shares at $126, shares need to drop nearly 5 percent for this option to move in-the-money. With 105 trading days to go, it’s a bet that could play out. The company, an owner, manager, and developer ...
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Major fund adds to stake. Crestview Partners, a fund with board seats and major ownership, added to their stake of WideOpenWest (WOW). The fund bought 18,120 shares, increasing their total stake to over 30,547,000 shares, at a cost of $108,000. Insiders such as the CEO and CFO have also been buyers of the company in the past two years, with most of that buying coming in recent weeks. Insiders have last sold shares of the company back in 2017. WideOpenWest provides cable, ...
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Bet on continued drop in shares. A number of bearish options trades were made against Ford Motors (F) recently, as the company reported lower-than-expected sales. Of all the options trades, the November 15th $8 puts saw the most action, with over 44,000 contracts trade, for a 63-fold surge in volume from a prior 700 contracts. That bet, expiring in about six weeks, will move in-the-money if shares drop just fifty cents, or about 6 percent from here. Ford announced that its auto ...
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November put buying suggests further drop. The November 15th $8 put options on Teva Pharmaceutical (TEVA) saw over 17,000 contracts trade against a prior open interest of 243, indicating a 70-fold surge in volume on the trade. With shares of Teva around $7, the $8 puts are already $1 in-the-money and should move penny-for-penny with any further drop in shares. At a cost of $1.44, the option also has about a penny a day in time premium attached to it. Shares of Teva ...
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Director makes $59 million buy. Charles Heilbronn picked up 243,849 shares of Ulta Beauty (ULTA), increasing his stake by 13 percent to just over 2,087,000 shares. The total cost for the latest purchase, with shares around $240, came to $58,900,000. This marks the second insider buy at the company this year, following a 1,300 shares buy from the CEO in late September. Insiders have otherwise been sellers of the company, at prices 21 to 26 percent higher than the current price. Although ...
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There are a lot of ways to make money in the market. But even if you find that rare company that can move ten-fold and provide one of the best profits of your lifetime, that will take time.Most investors get impatient. Trading Tips’ Andrew Packer explains why you should be looking at blue-chip bargains ...
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Traders bet on a rally in shares this month. The October 19th $44.50 call options on Foot Locker (FL) saw nearly 2,000 contracts trade against a prior open interest of 147, for a 13-fold surge in volume. With shares trading around $42.70, shares need to rally at least 4 percent for the option to move in-the-money. The company next reports earnings in late November, so the move higher will have to occur without that particular catalyst. Shares of the mall-based retailer of athletic ...
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Director makes $675,000 buy. Christopher Kennedy, a director at Interface Inc. (TILE), picked up 49,000 shares of the company, increasing his holdings by 55 percent. The total cost came to just under $675,000, and the director now owns over 136,000 shares. Insiders have been inactive at the company since late 2017, with this marking the first buy at the company. Insiders have previously been net sellers of shares two years ago, at prices 25-35 percent higher than where shares currently trade. Interface ...
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