Trading Tips Blog

President & CEO makes a 32,000 share buy. Cigna Group (CI) President & CEO David Cordani picked up 32,509 shares recently. The buy increased his stake in shares to over 357,500 shares, and the recent purchase cost just over $5 million. Insiders at the company have largely been sellers year-to-date, albeit in smaller amounts of a few hundred to a few thousand shares at most. And Cordani recently sold 27,000 shares in March at a price just 6 percent higher. Cigna Corporation ...
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Bet on double-digit drop in shares by February. The January 2020 $16 put options on Hanesbrands (HBI) saw nearly 7,000 contracts trade, a 28-fold surge in volume over the prior open interest of 243. With shares trading around $15, the option is particularly unusual in that it is an in-the-money bet on shares remaining under $16 between now and January 17th, 129 days away. With a cost of $2.10 per contract, nearly $1.00 of that is in-the-money. In order for the option to ...
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Senior VP buys nearly $100k in shares. Kyle Larkin, a Senior Vice President at Granite Construction (GVA), picked up 3,500 shares of the company, increasing his stake by nearly 73 percent. The cost came to just under $100,000. Insiders have been net buyers, and data shows that in the past year, corporate insiders have gone from owning 1.8 percent of the company to 2 percent, a small but important increase. Granite Construction is in the business of infrastructure contracting and construction materials ...
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Multiple insider buys over past few weeks. Multiple insiders have been buying shares of Cleveland-Cliffs (CLF) in the past few weeks. Directors John Baldwin, Eric Rychel, Ann Harlan and Robert Fisher have been buyers, as well as CFO Keith Koci. Overall, since the start of August, insiders have picked up over 60,000 shares, paying close to $8 per share on average, with the total coming out to over half a million dollars in insider buys. With the company’s share price around $7.50, ...
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Volume soars on late September calls. The September 20th $245 call options on Home Depot (HD) saw nearly 8,900 contracts trade against an open interest of 123. That’s a 72-fold surge in volume that the company’s shares, trading around $230, can rise another $15 in the next 11 days. With a cost of just $0.14, or $14 per contract, any move higher could move the option higher on a percentage basis. Given the 52-week range of shares, another 6.5 percent rally in ...
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Put option buying bets on decline. The October 4th $26 put options on Advanced Micro Devices (AMD) saw over 10,400 contracts trading—a 41-fold increase over the prior open interest of 250 contracts. With 28 days left to go and with shares around $32, the bet is that shares will decline nearly 19 percent. At just $0.15 for the option, or $15 for the full contract, the trade may simply be a hedge following the strong rally this week on the announcement ...
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Directors make multi-million dollar buy. Multiple insiders are making a buy at cosmetic company Coty (COTY). On September 4th, director Robert Singer bought 35,000 shares, a $325,000 purchase that increased his stake in the firm by nearly 15 percent. And director Peter Harf bought just over 1,050,000 shares, shelling out $9.98 million to do so, increasing his stake by 10 percent. Data for the past three years indicate that insiders have been buyers in that time, with their volume spiking this year. Coty ...
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Shares to head higher through October. Over 10,500 contracts traded on the October $285 call option on Netflix (NFLX), a 76-fold increase in volume given the contract’s prior open interest of 140. With 43 days to go before expiration, the option is a bet that shares will trend higher. Netflix shares trade around $288, putting these $285 calls $3 in-the-money. Any change in Netflix shares from here should cause the option to move dollar-for-dollar, less the decline of the remaining time ...
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