Advertisements


5 Top Stock Trades for Thursday: AMD, JPM, BABA, TWLO, DOCN

InvestorPlace - Stock Market News, Stock Advice & Trading Tips AMD, JPMorgan, Alibaba, Twilio and Digital Ocean were our top stock trades for Thursday. Let's look at how the charts are setting up now. The post 5 Top Stock Trades for Thursday: AMD, JPM, BABA, TWLO, DOCN appeared first on InvestorPlace. More From InvestorPlace Stock Prodigy Who Found NIO at $2… Says Buy THIS Now Analyst Who Found Microsoft at $0.38 Names #1 Pick for the AI Boom America’s #1 EV Stock Still Flying Under the Radar.....»»

Category: topSource: investorplaceOct 13th, 2021

Skechers stock surges after activist investor boosts stake, calls for "aggressive" buybacks and dividend

Shares of Skechers USA Inc. surged 5.1% in morning trading Wednesday, after Tremblant Capital Group disclosed that it increased its equity stake in the footwear seller to 5.1%, and said it has "engaged in discussions" with the company in an attempt to boost value. The new stake of 6.87 million shares comes just two weeks after the company said in a 13F filing that it owned 2.73 million Skechers shares and calls to buy 1.07 million shares as of Sept. 30. In a letter to Skechers' board of directors, that it was "puzzling" that despite revenue growing faster than many peers, such as Nike Inc. , Under Armour Inc. and Crocs Inc. , Skechers stock trades at less than half of the earnings multiples of those peers. Among Tremblant's suggestions to grow value were to initiate an "aggressive" share repurchase program and a dividend, and to eliminate the dual share class structure. Tremblant believes its suggestions could create more than $4 billion of value over the next 10 years. The stock has shed 6.0% over the past three months, while the S&P 500 has gained 2.5%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Category: topSource: marketwatchDec 1st, 2021

5 crypto scams to know before you start trading coins

Scammers use various techniques to rob crypto investors. Here are five scams to know and how to avoid them. Since cryptocurrency markets are still relatively new and less regulated, they’re more vulnerable to market manipulation.Victoria Gnatiuk/Getty Cryptocurrency is less regulated than other assets, which can lead to scams, fraud, and financial ruin. There are various forms of crypto market manipulation, including pump-and-dump schemes and rug pulls. Investors can avoid several common crypto scams by performing thorough due diligence before trading. Visit Insider's Investing Reference library for more stories. A cryptocurrency is a digital token that can be exchanged for goods and services. But many retail investors and institutions treat cryptos as investments instead of means of exchange, buying certain coins and hoping to sell them for a profit at a later date. But investors must be careful before dabbling in these widely misunderstood assets. Cryptocurrencies are speculative by nature. They lack traditional fundamentals that investors can analyze and assign value to. As a result, cryptos tend to be volatile assets — their prices can drastically fluctuate on any given day. Crypto markets are also less regulated in general, so it's easier for bad actors to maliciously influence prices and take advantage of unsuspecting investors. For these reasons, investors should be wary of the following crypto scams before they start investing in crypto. 1. Market manipulationMarket manipulation is the deliberate attempt to artificially influence or interfere with asset prices. Typically, scammers manipulate markets to tip the scales in their favor and make quick returns. Several illicit trading activities fall under this umbrella term, including:Spoofing: This creates an illusion of momentum by placing fake buy or sell orders, which are canceled before they're filled. Scammers frequently use dummy accounts and bots to place large trades, giving other investors the impression that demand is either increasing or decreasing. Front-running: This is the practice of making trades based on knowledge of future transactions. For instance, miners or node operators can have insight into pending trades. They could then leverage their inside access to make profitable trades ahead of major price swings. Churning: This is excessive trading by a broker in a client's crypto account to generate additional commissions. Asset management firms can receive fees for managing crypto holdings. Therefore, nefarious brokers could abuse a commission-based payment structure to profit off of unaware clients. On top of unwarranted fees, the impacted individuals could also incur unnecessary tax liabilities as a result of churning. Since cryptocurrency markets are still relatively new and less regulated, they're more vulnerable to market manipulation. However, there are ways crypto traders can avoid falling victim to these scams. For starters, it's best to trade on larger, reputable exchanges that have established security policies and internal controls. Additionally, investors can safeguard against unlawful tactics in the crypto markets by thoroughly researching coins, brokers, and exchanges before making any financial decisions. For instance, legitimate cryptos and companies typically offer potential investors an abundance of learning materials on their websites.Quick tip: Although plenty of investors day trade crypto, market manipulation usually impacts short-term trading activity. So, you can help protect against spontaneous price jumps by adopting a long-term outlook, otherwise known as "HODL-ing." This stands for "hold on for dear life" and encourages a buy-and-hold investing strategy.2. Pump-and-dump schemesA pump-and-dump scheme represents an individual or group's effort to inflate the price of an asset so that they can sell their own holdings for a profit. It starts with the "pump." To convince people to buy in, crypto schemers spread false or misleading information about minimally traded coins through social media, forums, and online communities. These posts often contain embellished due diligence (or "DD") and promise an impending surge. They'll use emojis like rocket ships paired with moons and diamonds alongside outstretched hands, implying an investment is about to pop and that investors should buy and hold. Then comes the dump. As momentum swells, other investors cash in and drive the price up, while the schemers cash out and make a quick fortune. Once the market realizes the hype was fake, investors scurry to limit losses and the coin's price plummets.Spotting a pump-and-dump scheme boils down to credibility. If you use social media platforms like Reddit and Twitter to track crypto movements, look out for anonymous accounts with minimal posting history — or a track record of baseless pumping. These are likely fraudsters. 3. Rug pulls A rug pull occurs when crypto developers abandon a project but keep the funds raised from investors. Bad actors can list a new token on a decentralized exchange, pair it with a legitimate cryptocurrency, and drum up interest on social media to lure in investors. Once enough money funnels into their token, the developers scratch the project and run with investor funds. This scam plagues early investors who think they're getting early access to up-and-coming cryptos, when in reality they're scammed out of their money. "If it sounds too good to be true, it probably is," explains Shaun Heng, the VP of Growth & Operations at CoinMarketCap, one of the most frequented websites for tracking crypto prices."Pay close attention to the websites and third parties involved. Don't rely on comments from anyone on social media, no matter what people are saying or how many positive reviews there are. If you can't find verifiable reviews, the chances of the opportunity being a scam are higher," Heng adds.Quick tip: By sticking to centralized cryptocurrency exchanges, which typically have stricter oversight and regulations, you have a better chance of avoiding illegitimate projects. 4. Traditional hacking and theft Crypto markets have unique characteristics relative to other asset markets. But investors are still susceptible to traditional scams like account hacks and identity theft. To trade crypto, investors need a crypto wallet, which can be a digital or physical device. These wallets have keys — both public and private. The former is a public address that allows crypto to be deposited into the wallet, similar to how routing and bank account numbers enable direct deposits. The latter is like the password to an online banking platform. Whoever has access to that password can control the funds within the account. Just as you wouldn't share your credit card number with a stranger, keep your private keys somewhere safe. Fraudsters can use this information to hack accounts and withdraw funds — and they'll employ various tricks to get investors to reveal their private information. Be cautious of crypto phishing emails that may pose as a crypto exchange or wallet provider. The same goes for out-of-the-blue and unsolicited promotions from suspicious websites and imposter accounts. Scammers often pretend to be celebrities or affiliates of major companies, promising guaranteed and immediate returns if you act quickly. Quick tip: To avoid accidentally falling for phishing emails, verify that the sender's email address is valid and/or recognizable. Often, scammers use addresses with generic domains and random characters.5.  Initial coin offering (ICO) scamsAn initial coin offering (ICO) is the crypto equivalent of an initial public offering (IPO) for a stock. Through an ICO, companies can raise money to fund a crypto development, such as a token, app, or relevant service. In exchange for pledging funds, the investor receives an issuance of newly minted coins. While IPOs are typically for well-established private businesses, companies that pursue ICOs aren't necessarily in the same position. They could be fledgling startups without any operating history whatsoever, which can make it difficult to differentiate between a real offering and a scam. Similar to rug pulls, ICO scams collect the funds of early investors only to abandon the project shortly after. An easy way to recognize an ICO scam — or simply an unprepared management team — is to review the company's whitepaper. This document details the specifications behind the project, including strategy, goals, and market analysis. If the company doesn't provide a whitepaper, that's a red flag. Quick tip: You can perform a background check on the ICO's developers and management team. If the company's ownership is anonymous or has a minimal track record in the crypto space, that should also be a cause of concern.The financial takeawayDecentralized finance can be a Catch-22. On one side, the lack of a singular governing body allows community-wide decisions and can open the doors to additional opportunities. On the other side, without standardized oversight, bad actors can commit fraud and deceive unsuspecting investors in a variety of ways. However, much like in traditional asset markets, crypto investors can lower their risk of succumbing to market manipulation by being wary of these schemes and taking proactive measures. That includes using reputable exchanges and performing thorough research before making any investment decisions. If you come across a scam, you can report it to the Federal Trade Commission at ReportFraud.ftc.gov.Read the original article on Business Insider.....»»

Category: smallbizSource: nytDec 1st, 2021

Is the Options Market Predicting a Spike in Cortexyme (CRTX) Stock?

Investors need to pay close attention to Cortexyme (CRTX) stock based on the movements in the options market lately. Investors in Cortexyme, Inc. CRTX need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 17, 2021 $20.00 Call had some of the highest implied volatility of all equity options today.  What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for Cortexyme shares, but what is the fundamental picture for the company? Currently, Cortexyme is a Zacks Rank #3 (Hold) in the Medical - Biomedical and Genetics industry that ranks in the Bottom  37% of our Zacks Industry Rank. Over the last 60 days, one analyst has increased their earnings estimates for the current quarter, while none have dropped their estimates. The net effect has narrowed our Zacks Consensus Estimate for the current quarter from a loss of 67 cents per share to a loss of 60 cents in that period.Given the way analysts feel about Cortexyme right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cortexyme, Inc. (CRTX): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksDec 1st, 2021

Do Options Traders Know Something About Reata (RETA) Stock We Don"t?

Investors need to pay close attention to Reata (RETA) stock based on the movements in the options market lately. Investors in Reata Pharmaceuticals, Inc. RETA need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 17, 2021 $120.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for Reata shares, but what is the fundamental picture for the company? Currently, Reata is a Zacks Rank #3 (Hold) in the Medical - Biomedical and Genetics industry that ranks in the Bottom 37% of our Zacks Industry Rank. Over the last 60 days, our Zacks Consensus Estimate for the current quarter has widened from a loss of $2.55 per share to a loss of $2.58.Given the way analysts feel about Reata right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Reata Pharmaceuticals, Inc. (RETA): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksDec 1st, 2021

Do Options Traders Know Something About MEI Pharma (MEIP) Stock We Don"t?

Investors need to pay close attention to MEI Pharma (MEIP) stock based on the movements in the options market lately. Investors in MEI Pharma, Inc. MEIP need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 17, 2021 $5.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for MEI Pharma shares, but what is the fundamental picture for the company? Currently, MEI Pharma is a Zacks Rank #3 (Hold) in the Medical - Drugs industry that ranks in the Bottom 38% of our Zacks Industry Rank. Over the last 60 days, the Zacks Consensus Estimate for the current quarter has widened from a loss of 18 cents per share to a loss of 19 cents.Given the way analysts feel about MEI Pharma right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report MEI Pharma, Inc. (MEIP): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksDec 1st, 2021

Is the Options Market Predicting a Spike in Shapeways (SHPW) Stock?

Investors need to pay close attention to Shapeways (SHPW) stock based on the movements in the options market lately. Investors in Shapeways Holdings, Inc. SHPW need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 17, 2021 $10.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for Shapeways shares, but what is the fundamental picture for the company? Currently, Shapeways is a Zacks Rank #3 (Hold) in the Technology Services industry that ranks in the Bottom 33% of our Zacks Industry Rank. Over the last 30 days, one analyst has increased the earnings estimate for the current quarter, while none have dropped their estimates. The net effect has narrowed our Zacks Consensus Estimate for the current quarter from a loss of 12 cents per share to a loss of 10 cents in that period.Given the way analysts feel about Shapeways right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Shapeways Holdings, Inc. (SHPW): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksDec 1st, 2021

Implied Volatility Surging for Atea (AVIR) Stock Options

Investors need to pay close attention to Atea (AVIR) stock based on the movements in the options market lately. Investors in Atea Pharmaceuticals, Inc. AVIR need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 17, 2021 $12.50 Put had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for Atea shares, but what is the fundamental picture for the company? Currently, Atea is a Zacks Rank #3 (Hold) in the Medical – Biomedical and Genetics industry that ranks in the Bottom 37% of our Zacks Industry Rank. Over the last 30 days, two analysts have increased their earnings estimates for the current quarter, while one has dropped the estimate. The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 19 cents per share to earnings of 13 cents in that period.Given the way analysts feel about Atea right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Atea Pharmaceuticals, Inc. (AVIR): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksDec 1st, 2021

Are Options Traders Betting on a Big Move in QUALCOMM (QCOM) Stock?

Investors need to pay close attention to QUALCOMM (QCOM) stock based on the movements in the options market lately. Investors in QUALCOMM Incorporated QCOM need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 21, 2022 $50.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for QUALCOMM shares, but what is the fundamental picture for the company? Currently, QUALCOMM is a Zacks Rank #2 (Buy) in the Wireless Equipment industry that ranks in the Bottom 31% of our Zacks Industry Rank. Over the last 30 days, seven analysts have increased their earnings estimates for the current quarter, while none have dropped their estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from $2.63 per share to $3.01 in that period.Given the way analysts feel about QUALCOMM right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report QUALCOMM Incorporated (QCOM): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksDec 1st, 2021

Implied Volatility Surging for TMC Stock Options

Investors need to pay close attention to TMC stock based on the movements in the options market lately. Investors in TMC the metals company Inc. TMC need to pay close attention to the stock based on moves in the options market lately. That is because the Feb 18, 2022 $10.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for TMC shares, but what is the fundamental picture for the company? Currently, TMC is a Zacks Rank #3 (Hold) in the Mining - Miscellaneous industry that ranks in the Bottom 28% of our Zacks Industry Rank. Over the last 60 days, the Zacks Consensus Estimate for the current quarter has widened from a loss of 5 cents per share to a loss of 10 cents.Given the way analysts feel about TMC right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report TMC the metals company Inc. (TMC): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksDec 1st, 2021

Implied Volatility Surging for iQIYI (IQ) Stock Options

Investors need to pay close attention to iQIYI (IQ) stock based on the movements in the options market lately. Investors in iQIYI, Inc. IQ need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 17, 2021 $10.00 Put had some of the highest implied volatility of all equity options today.  What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for iQIYI shares, but what is the fundamental picture for the company? Currently, iQIYI is a Zacks Rank #3 (Hold) in the Film and Television Production and Distribution industry that ranks in the Top 38% of our Zacks Industry Rank. Over the last 60 days, one analyst has increased their earnings estimates for the current quarter, while none have dropped their estimates. The net effect has narrowed our Zacks Consensus Estimate for the current quarter from a loss of 26 cents per share to a loss of 21 cents in that period.Given the way analysts feel about iQIYI right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >>  Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report iQIYI, Inc. Sponsored ADR (IQ): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksDec 1st, 2021

Do Options Traders Know Something About Tricida (TCDA) Stock We Don"t?

Investors need to pay close attention to Tricida (TCDA) stock based on the movements in the options market lately. Investors in Tricida, Inc. TCDA need to pay close attention to the stock based on moves in the options market lately. That is because the Nov 18, 2022 $7.50 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.What do the Analysts Think?Clearly, options traders are pricing in a big move for Tricida shares, but what is the fundamental picture for the company? Currently, Tricida is a Zacks Rank #3 (Hold) in the Medical - Drugs industry that ranks in the Bottom 36% of our Zacks Industry Rank. Over the last 60 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has widened our Zacks Consensus Estimate for the current quarter from a loss of 69 cents per share to a loss of 71 cents in that period.Given the way analysts feel about Tricida right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.Looking to Trade Options?Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.Click to see the trades now >> Zacks Names "Single Best Pick to Double" From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all. You know this company from its past glory days, but few would expect that it's poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks' Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.Free: See Our Top Stock and 4 Runners Up >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tricida, Inc. (TCDA): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksDec 1st, 2021

Philip Morris tweaks 2021 profit view on currency exchange impact

Philip Morris International said Wednesday it expects 2021 earnings of $5.74 a share to $5.79 a share, including the impact of foreign currency exchange. The cigarette maker expects adjusted profit of $5.98 to $6.03 a share. Analysts expect the company to earn $6.08 a share, according to a FactSet survey. "We remain on-track to deliver an excellent performance in 2021, with a full-year EPS forecast that continues to represent currency-neutral adjusted diluted EPS growth of 13% to 14%," said CEO Jacek Olczak. The company is seeing "strong momentum" in its IQOS tobacco heat stick business despite the impact of the semiconductor supply shortage. The company expects "improved sequential IQOS user growth" in the fourth quarter. Shares of Philip Morris rose 0.2% in pre-market trades. The stock is up 3.8% thus far in 2021, compared to a rise of 21.6% by the S&P 500. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Category: topSource: marketwatchDec 1st, 2021

Billionaire Steven A. Cohen funds 24Exchange: WSJ

Steven A. Cohen, the billionaire owner of the New York Mets, is providing $14.25 million in financing to stock trading company 24 Exchange, The Wall Street Journal reported on Wednesday. Cohen's venture fund Point72 Ventures is backing efforts by 24 Exchange to provide stock trades 24 hours a day, seven days a week. The three-year-old company is currently seeking approval from the Securities and Exchange Commission to set up a round-the-clock stock market. It's already launched trading platforms for cryptocurrencies and foreign exchange transactions. Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news......»»

Category: topSource: marketwatchDec 1st, 2021

The Perfect Con Job

The Perfect Con Job Authored by Charles Hugh Smith via DailyReckoning.com, One of the most famous examples of smart people being sucked into a bubble and losing a packet as a result is Isaac Newton’s forays in and out of the 1720 South Sea Bubble that is estimated to have sucked in 80–90% of the entire pool of investors in England. Some have claimed that Newton did not buy early in 1711, sell in April 1720 for a nice profit and then sink the majority of his substantial fortune in the bubble as it peaked in summer, then suffering heavy losses as the bubble popped in September, but evidence supports this chain of events. Newton “bought the dip” on the way up and then added to his position as the mania rolled over, making his final fatal purchase as a “buy the dip” just before the “last chance to exit” spike — which is precisely the point the current bubble has finally reached, when everyone is all in and “buying the dip” to increase the profits that everyone agrees are essentially guaranteed because the Fed. Not Even a Genius Can See a Bubble Isaac Newton was a very smart man. Newton was not just smart and wealthy, but he was financially sophisticated and a very successful investor who favored financial instruments such as bonds over land. He was the ultimate experienced, savvy investor who would not be bamboozled by specious math. The problem is, alas, smart people are still humans, and humans run with the herd when the herd is minting money. The Herd Is in for a Rude Awakening Absurdly farfetched claims are gussied up with “mathiness” and narratives that are powerfully simplistic, with just enough common-sense credibility to enliven the excessive greed that lies dormant but ready in every human heart. Despite Newton’s tremendous intelligence and experience, he fell victim to the bubble along with the vast herd of credulous greedy punters. Newton died a wealthy man in 1727, so his bubble misadventure did not ruin him, though it did lop a huge chunk off his net worth. Many in the herd, then and now, won’t be as fortunate. In fact, right now they’re being set up for a massive fall. And the financially intelligent could make fortunes as a result. Let me explain… An Opportunity to Scoop up Mega-Millions An extraordinary opportunity to scoop up mega-millions in profits has arisen, and grabbing all this free money makes perfect financial sense. Now the question is: Will those who have the means to grab the dough have the guts to do so? Here’s the opportunity: Retail punters (those who attempt to make fast profits from an investment regardless of its underlying fundamentals) have gone wild for call options, churning $2.6 trillion in mostly short-term calls — bets on gains now, not later. This expansion of retail options exposure is unprecedented not just in its volume but in its concentration in short-term bets (options that expire in a few days) and in mega-cap tech companies that are commanding rich premiums for options. The options market is like every other market only more so. The price of an option — a bet that a stock, ETF or index will go up or down before the option expires — is sensitive to the volatility of the underlying equity, the demand of other punters for options and the premium being demanded for time: The further out the expiration date, the higher the cost of the option. Anyone with 100 shares of the underlying equity can write/originate an option. Each option controls 100 shares, so a call option that is listed at $1 costs the buyer of the call $100. This is very sweet leverage if the market goes your way. You get all the gains of the 100 shares for a cost considerably less than buying the 100 shares outright. No wonder retail punters are going crazy for this cheap leverage to maximize gains in “can’t lose” trades. There’s a Catch But options have one funny trait: They can expire worthless and the punter loses the entire bet. Each option has an expiration date and a strike price — the price of the underlying equity that’s the pivot point for the bet. Calls gain value if the equity’s price moves above the strike price and puts gain value if the equity’s price falls below the strike price. The entity that sold the option gets to keep the money if it expires without any value. Here’s an example: Let’s say you have 100 shares of Engulf & Devour and you sell me a call for $500 at a strike price of $100. If Engulf & Devour closes below $100 at expiration, you keep the $500 as pure profit and I lose the entire bet. Now, it would be extraordinarily profitable to sell a huge number of calls — bets on a move higher — and then pull the rug out by crashing the market just as all those options expire. It would be criminally foolish not to crash the market and scoop up all that free money. Here’s what makes the opportunity so extraordinary… All Bulls, No Bears The options universe is extremely lopsided. Bearish bets have dried up as the market has melted higher month after month; short bets are at record lows and the put-call ratio reflects the same capitulation of bears and bulls’ supreme confidence in near-term gains. This means a crash will cost very little in terms of puts gaining value because there are so few puts out there to reap enormous gains as the vast majority of call options will expire worthless, leaving those who wrote the calls immensely wealthier. In previous eras with lower retail option volume and a less lopsided options market, it wouldn’t be worth the trouble to flash-crash the market to scoop up retail calls. But a trillion here and a trillion there and pretty soon you’re talking real money. Buyers of “can’t lose” calls may be unaware that the tail can wag the dog. Mega-cap tech companies appear invulnerable to declines, but they are now the 800-pound gorillas in all the indexes (Dow 30, S&P 500, Nasdaq) and a boatload of ETFs. So triggering a mass sell-off in an index play such as SPY will trigger a sell-off in all the components of that index, including the invulnerable mega-cap tech names. Mass Exodus The opportunity here is amplified by the dominance of computer trading algorithms. Once a crash begins, the algos will trend-follow and liquidate exposure to lower risk. This sets up a self-reinforcing chain of selling as every drop triggers more sell programs. Volumes are so low that it won’t take that big of a leveraged sell order to start the rug-pull. Add up the extraordinary size of retail options bets, the lopsided bullish bias in calls and the short duration of the calls and you have an unprecedented opportunity to scoop mega-millions of dollars by doing a rug-pull of the market via selling leveraged index instruments. Retail call buyers are basically begging the big players to take their money via a flash crash, and the players would be insanely incompetent not to take the money lying on the table. The Perfect Con It has all the moving parts of a perfect con: Convince the retail punters that they can’t lose by buying calls, jack up the premium they’re paying to own that beautiful leverage for a few days or weeks, lead them on with little rallies, “proving” they can’t lose and encouraging them to buy more high-priced calls, crush volatility to show the futility of buying puts and persuade the punters they have no need for any hedge, as the market can only loft higher because the Fed, etc. Then bang, pull the rug out and crash the market limit down for a few days. It’s a gorgeous setup, literally picture-perfect. It makes perfect financial sense to crash the market and no sense to reward the retail options marks by pushing it higher. Let’s see who gets to be the Road Runner and who ends up as Wile E. Coyote. Tyler Durden Tue, 11/30/2021 - 21:05.....»»

Category: blogSource: zerohedgeNov 30th, 2021

4 Top Stock Trades for Wednesday: Ethereum, XPEV, DLTR, BABA

InvestorPlace - Stock Market News, Stock Advice & Trading Tips Dollar Tree, Ethereum, Xpeng and Alibaba were our top stock trades for Wednesday. Now, let's look at how the charts are setting up. The post 4 Top Stock Trades for Wednesday: Ethereum, XPEV, DLTR, BABA appeared first on InvestorPlace. More From InvestorPlace Stock Prodigy Who Found NIO at $2… Says Buy THIS Now Man Who Called Black Monday: “Prepare Now.” #1 EV Stock Still Flying Under the Radar Interested in Crypto? Read This First........»»

Category: topSource: investorplaceNov 30th, 2021

Adagio Therapeutics extends 3-day gain to 319% on hopes that its antiviral can treat the Omicron variant

"ADG20 was uniquely designed to combine breadth, potency and duration of protection against SARS-CoV-2 for up to one year in a single injection." A stock trader claps at the end of trade at the New York Stock Exchange.EMMANUEL DUNAND/AFP via Getty ImagesAdagio Therapeutics stock is up as much as 319% since the Omicron variant of COVID-19 was identified last week.Adagio said it believes its antibody drug candidate, ADG20, will be effective against the new strain. The company is anticipating emergency use authorization for its drug in the second half of 2022.Adagio Therapeutics stock soared as much as 68% on Tuesday, extending its three-day gain to a high of 319% as investors bet that its antiviral drug candidate, ADG20, will offer protection against the Omicron variant of COVID-19.The Waltham-based biotech said on Monday that it expects its antiviral to be effective against the new strain, citing recent data. "Due to the highly conserved and immuno recessive nature of the epitope recognized by ADG20, we expect that ADG20 will retain activity against Omicron, as we have observed in in vitro models with all other variants of concern identified previously," Chief Scientific Officer Laura Walker said.If successful, ADG20 will be a relief to the world as concerns grow about the effectiveness of current vaccines against the latest variant. Moderna CEO Stéphane Bancel told the Financial Times on Tuesday that he expects the effectiveness of current vaccines to experience a "material drop" against new variants like Omicron.Adagio is preparing to submit its drug to the FDA for emergency use authorization in mid-2022. If that's granted, the company plans to have 4 million doses available for distribution over the next two years. "ADG20 was uniquely designed to combine breadth, potency and duration of protection against SARS-CoV-2 for up to one year in a single injection. We did this anticipating that SARS-CoV-2 would continue to evolve and potentially render some early therapies and vaccines obsolete," CEO Tillman Gerngross said.Morgan Stanley analyst Matthew Harrison raised his price target on Adagio stock to $49 on Monday, as he expects the company's antibody to prove effective against Omicron. The company went public in August at a valuation of nearly $2 billion, having priced its IPO at $17 per share. On Tuesday, Adagio stock hit a record high of $78.82, valuing the company at about $6 billion, but pared back its gains in Tuesday afternoon trades to about 1.5%.Markets InsiderRead the original article on Business Insider.....»»

Category: topSource: businessinsiderNov 30th, 2021

Berry Global (BERY) Hits Fresh High: Is There Still Room to Run?

Berry Global (BERY) is at a 52-week high, but can investors hope for more gains in the future? We take a look at the company's fundamentals for clues. Have you been paying attention to shares of Berry Global Group (BERY)? Shares have been on the move with the stock up 7.7% over the past month. The stock hit a new 52-week high of $71.98 in the previous session. Berry Global Group has gained 27.4% since the start of the year compared to the 13.3% move for the Zacks Industrial Products sector and the 11.2% return for the Zacks Containers - Paper and Packaging industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on November 18, 2021, Berry Global reported EPS of $1.89 versus consensus estimate of $1.53 while it beat the consensus revenue estimate by 4.44%.For the current fiscal year, Berry Global is expected to post earnings of $7.24 per share on $14.42 billion in revenues. This represents a 0.42% change in EPS on a 4.08% change in revenues. For the next fiscal year, the company is expected to earn $7.65 per share on $14.59 billion in revenues. This represents a year-over-year change of 5.74% and 1.22%, respectively.Valuation MetricsBerry Global may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. The idea behind the style scores is to help investors pick the most appropriate Zacks Rank stocks based on their individual investment style.Berry Global has a Value Score of A. The stock's Growth and Momentum Scores are C and D, respectively, giving the company a VGM Score of B.In terms of its value breakdown, the stock currently trades at 9.9X current fiscal year EPS estimates. On a trailing cash flow basis, the stock currently trades at 5.2X versus its peer group's average of 10.1X. Additionally, the stock has a PEG ratio of 0.99. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.Zacks RankWe also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, Berry Global currently has a Zacks Rank of #1 (Strong Buy) thanks to rising earnings estimates.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Berry Global meets the list of requirements. Thus, it seems as though Berry Global shares could have a bit more room to run in the near term. Tech IPOs With Massive Profit Potential: Last years top IPOs surged as much as 299% within the first two months. With record amounts of cash flooding into IPOs and a record-setting stock market, this year could be even more lucrative. See Zacks’ Hottest Tech IPOs Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Berry Global Group, Inc. (BERY): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksNov 30th, 2021

Pure Storage (PSTG) Hits Fresh High: Is There Still Room to Run?

Pure Storage (PSTG) is at a 52-week high, but can investors hope for more gains in the future? We take a look at the company's fundamentals for clues. Shares of Pure Storage (PSTG) have been strong performers lately, with the stock up 18.2% over the past month. The stock hit a new 52-week high of $32.24 in the previous session. Pure Storage has gained 41.9% since the start of the year compared to the 26.8% move for the Zacks Computer and Technology sector and the 26.4% return for the Zacks Computer- Storage Devices industry.What's Driving the Outperformance?The stock has an impressive record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on November 23, 2021, Pure Storage reported EPS of $0.22 versus consensus estimate of $0.12.For the current fiscal year, Pure Storage is expected to post earnings of $0.63 per share on $2.1 billion in revenues. This represents a 173.91% change in EPS on a 24.88% change in revenues. For the next fiscal year, the company is expected to earn $0.74 per share on $2.49 billion in revenues. This represents a year-over-year change of 18.18% and 18.18%, respectively.Valuation MetricsPure Storage may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company is due for a pullback from this level.On this front, we can look at the Zacks Style Scores, as they provide investors with an additional way to sort through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.Pure Storage has a Value Score of F. The stock's Growth and Momentum Scores are A and A, respectively, giving the company a VGM Score of B.In terms of its value breakdown, the stock currently trades at 51.1X current fiscal year EPS estimates. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.Zacks RankWe also need to look at the Zacks Rank for the stock, as this supersedes any trend on the style score front. Fortunately, Pure Storage currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if Pure Storage meets the list of requirements. Thus, it seems as though Pure Storage shares could have potential in the weeks and months to come.How Does Pure Storage Stack Up to the Competition?Shares of Pure Storage have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? Some of its industry peers are also looking good, including Konica Minolta (KNCAY), Extreme Networks (EXTR), and Lenovo Group (LNVGY), all of which currently have a Zacks Rank of at least #2 and a VGM Score of at least B, making them well-rounded choices.However, it is worth noting that the Zacks Industry Rank for this group is in the bottom half of the ranking, so it isn't all good news for Pure Storage. Still, the fundamentals for Pure Storage are promising, and it still has potential despite being at a 52-week high. Tech IPOs With Massive Profit Potential: Last years top IPOs surged as much as 299% within the first two months. With record amounts of cash flooding into IPOs and a record-setting stock market, this year could be even more lucrative. See Zacks’ Hottest Tech IPOs Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Pure Storage, Inc. (PSTG): Free Stock Analysis Report Extreme Networks, Inc. (EXTR): Free Stock Analysis Report Konica Minolta Inc. (KNCAY): Free Stock Analysis Report Lenovo Group Ltd. (LNVGY): Free Stock Analysis Report To read this article on Zacks.com click here......»»

Category: topSource: zacksNov 30th, 2021

Are You Looking for a Top Momentum Pick? Why Pure Storage (PSTG) is a Great Choice

Does Pure Storage (PSTG) have what it takes to be a top stock pick for momentum investors? Let's find out. Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the 'long' context, investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.Below, we take a look at Pure Storage (PSTG), which currently has a Momentum Style Score of A. We also discuss some of the main drivers of the Momentum Style Score, like price change and earnings estimate revisions.It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Pure Storage currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of A or B outperform the market over the following one-month period.You can see the current list of Zacks #1 Rank Stocks here >>>Set to Beat the Market?In order to see if PSTG is a promising momentum pick, let's examine some Momentum Style elements to see if this data storage company holds up.Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.For PSTG, shares are up 7.87% over the past week while the Zacks Computer- Storage Devices industry is down 3.69% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 18.16% compares favorably with the industry's 0.18% performance as well.While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Over the past quarter, shares of Pure Storage have risen 21.15%, and are up 75.59% in the last year. In comparison, the S&P 500 has only moved 3.54% and 29.42%, respectively.Investors should also pay attention to PSTG's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. PSTG is currently averaging 4,102,567 shares for the last 20 days.Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with PSTG.Over the past two months, 11 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost PSTG's consensus estimate, increasing from $0.45 to $0.63 in the past 60 days. Looking at the next fiscal year, 11 estimates have moved upwards while there have been no downward revisions in the same time period.Bottom LineGiven these factors, it shouldn't be surprising that PSTG is a #2 (Buy) stock and boasts a Momentum Score of A. If you're looking for a fresh pick that's set to soar in the near-term, make sure to keep Pure Storage on your short list. Tech IPOs With Massive Profit Potential: Last years top IPOs surged as much as 299% within the first two months. With record amounts of cash flooding into IPOs and a record-setting stock market, this year could be even more lucrative. See Zacks’ Hottest Tech IPOs Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Pure Storage, Inc. (PSTG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksNov 30th, 2021

Is BFS Equity (BFSAX) a Strong Mutual Fund Pick Right Now?

Mutual Fund Report for BFSAX Have you been searching for a Mutual Fund Equity Report fund? You might want to begin with BFS Equity (BFSAX). BFSAX carries a Zacks Mutual Fund Rank of 3 (Hold), which is based on nine forecasting factors like size, cost, and past performance.History of Fund/ManagerBFS Funds is based in Indianapolis, IN, and is the manager of BFSAX. Since BFS Equity made its debut in November of 2013, BFSAX has garnered more than $48.78 million in assets. The fund is currently managed by a team of investment professionals.PerformanceInvestors naturally seek funds with strong performance. This fund in particular has delivered a 5-year annualized total return of 17.05%, and is in the middle third among its category peers. If you're interested in shorter time frames, do not dismiss looking at the fund's 3-year annualized total return of 18.94%, which places it in the bottom third during this time-frame.When looking at a fund's performance, it is also important to note the standard deviation of the returns. The lower the standard deviation, the less volatility the fund experiences. Compared to the category average of 19.35%, the standard deviation of BFSAX over the past three years is 18.9%. The fund's standard deviation over the past 5 years is 15.8% compared to the category average of 15.72%. This makes the fund more volatile than its peers over the past half-decade.Risk FactorsThe fund has a 5-year beta of 1.01, so investors should note that it is hypothetically as volatile as the market at large. Alpha is an additional metric to take into consideration, since it represents a portfolio's performance on a risk-adjusted basis relative to a benchmark, which in this case, is the S&P 500. The fund has produced a negative alpha over the past 5 years of -1.67, which shows that managers in this portfolio find it difficult to pick securities that generate better-than-benchmark returns.HoldingsExamining the equity holdings of a mutual fund is also a valuable exercise. This can show us how the manager is applying their stated methodology, as well as if there are any inherent biases in their approach. For this particular fund, the focus is principally on equities that are traded in the United States.Right now, 81.89% of this mutual fund's holdings are stocks, and these companies have an average market capitalization of $437.59 billion. The fund has the heaviest exposure to the following market sectors: Technology Retail Trade Finance Other This fund's turnover is about 68.77%, so the fund managers are making fewer trades than the average comparable fund.ExpensesCosts are increasingly important for mutual fund investing, and particularly as competition heats up in this market. And all things being equal, a lower cost product will outperform its otherwise identical counterpart, so taking a closer look at these metrics is key for investors. In terms of fees, BFSAX is a no load fund. It has an expense ratio of 1.25% compared to the category average of 1.02%. Looking at the fund from a cost perspective, BFSAX is actually more expensive than its peers.This fund requires a minimum initial investment of $1,000, while there is no minimum for each subsequent investment.Bottom LineOverall, BFS Equity ( BFSAX ) has a neutral Zacks Mutual Fund rank, and in conjunction with its comparatively similar performance, average downside risk, and higher fees, this fund looks like a somewhat average choice for investors right now.Your research on the Mutual Fund Equity Report segment doesn't have to stop here. You can check out all the great mutual fund tools we have to offer by going to www.zacks.com/funds/mutual-funds to see the additional features we offer as well for additional information. If you are more of a stock investor, make sure to also check out our Zacks Rank, and our full suite of tools we have available for novice and professional investors alike. Tech IPOs With Massive Profit Potential: Last years top IPOs surged as much as 299% within the first two months. With record amounts of cash flooding into IPOs and a record-setting stock market, this year could be even more lucrative. See Zacks’ Hottest Tech IPOs Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Get Your Free (BFSAX): Fund Analysis Report To read this article on Zacks.com click here. Zacks Investment Research.....»»

Category: topSource: zacksNov 30th, 2021