MORNING UPDATE: PriceWatch Alerts for CYBR and More... for 2014-11-14 |
| MORNING UPDATE FOR NOVEMBER 14, 2014 PriceWatch Alerts for GE, FLWS, CMG, TASR, INTC, MNKD, CYBR, BBY, JWN and XONE. General Electric (NYSE: GE) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $26.39 while selling the June $27.00 call will produce a new covered call with a break-even point around $25.59. At that price, this position has a target return of 5.5%. This trade will have roughly 3.0% downside protection, while still aiming for a 5.5% return in 217 days. It will lock in that return as long as General Electric is above $27.00 on 6/19/2015. For comparison purposes only, this GE covered call aims for an annualized return rate of 9.3%. 1-800-Flowers Com (NASDAQ: FLWS) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $9.01 while simultaneously selling the June $10.00 call will result in a new position with a target return of 24.8%. Based on recent prices, this position will cost about $8.01, which is also the trade?s breakeven point. At that level, this covered call has 11.1% downside protection, while still providing a 24.8% return in 217 days as long as FLWS is above $10.00 on 6/19/2015. For comparison purposes only, this 1-800-Flowers Com covered call aims for an annualized return rate of 41.8%. Chipotle Mexican Grill (NYSE: CMG) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $670.75 while selling the March $675.00 call will produce a new covered call with a break-even point around $632.05. At that price, this position has a target return of 6.8%. This trade will have roughly 5.8% downside protection, while still aiming for a 6.8% return in 126 days. It will lock in that return as long as Chipotle Mexican Grill is above $675.00 on 3/20/2015. For comparison purposes only, this CMG covered call aims for an annualized return rate of 19.7%. Taser International (NASDAQ: TASR) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $20.00 call while at the same time buying TASR stock for $19.64 will produce a new covered call with a target return of 9.8%. Based on recent data, this trade will cost about $18.21, which is also the covered call?s breakeven point. At that price, this covered call has 7.3% downside protection, while seeking an assigned return of 9.8% return in 64 days. If TASR is higher than $20.00 on 1/17/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 56.0%. Intel (NASDAQ: INTC) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the January $34.00 call while simultaneously buying INTC stock for $33.68 will result in a new position with a break-even point around $32.48. At that price, this position has a target return of 4.7%. This trade has 3.6% downside protection, while still providing a 4.7% return in 64 days as long as INTC is above $34.00 on 1/17/2015. For comparison purposes only, this Intel covered call targets an annualized return rate of 26.6%. MannKind (NASDAQ: MNKD) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $6.18 while selling the May $7.00 call will produce a new covered call with a break-even point around $5.43. At that price, this position has a target return of 28.9%. This trade will have roughly 12.1% downside protection, while still aiming for a 28.9% return in 182 days. It will lock in that return as long as MannKind is above $7.00 on 5/15/2015. For comparison purposes only, this MNKD covered call aims for an annualized return rate of 58.0%. CyberArk Software (NYSE: CYBR) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $42.80 while simultaneously selling the December $45.00 call will result in a new position with a target return of 12.1%. Based on recent prices, this position will cost about $40.15, which is also the trade?s breakeven point. At that level, this covered call has 6.2% downside protection, while still providing a 12.1% return in 36 days as long as CYBR is above $45.00 on 12/20/2014. For comparison purposes only, this CyberArk Software covered call aims for an annualized return rate of 122.4%. Best Buy (NYSE: BBY) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $35.49 while selling the January $36.00 call will produce a new covered call with a break-even point around $33.96. At that price, this position has a target return of 6.0%. This trade will have roughly 4.3% downside protection, while still aiming for a 6.0% return in 64 days. It will lock in that return as long as Best Buy is above $36.00 on 1/17/2015. For comparison purposes only, this BBY covered call aims for an annualized return rate of 34.2%. Nordstrom (NYSE: JWN) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the April $77.50 call while at the same time buying JWN stock for $74.89 will produce a new covered call with a target return of 6.9%. Based on recent data, this trade will cost about $72.49, which is also the covered call?s breakeven point. At that price, this covered call has 3.2% downside protection, while seeking an assigned return of 6.9% return in 154 days. If JWN is higher than $77.50 on 4/17/2015, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 16.4%. ExOne (NASDAQ: XONE) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the January $20.00 call while simultaneously buying XONE stock for $19.80 will result in a new position with a break-even point around $18.40. At that price, this position has a target return of 8.7%. This trade has 7.1% downside protection, while still providing a 8.7% return in 64 days as long as XONE is above $20.00 on 1/17/2015. For comparison purposes only, this ExOne covered call targets an annualized return rate of 49.6%. *Annualized returns are shown for comparison purposes only Are you looking for a more conservative strategy that solves the pitfalls that come with covered calls investing? Check out our RadioActive Home Study Kit (http://www.poweropt.com/psDetails.asp?pid=25)! 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NOTE: All stocks and options shown are examples only. These are not recommendations to buy or sell any security. STOCKS ON THE MOVE Weibo (WB), YY (YY) and Dreamworks Animation (DWA) are higher in pre-market trading, while SINA (SINA), Lululemon (LULU) and CSX (CSX) are lower. There are no major analyst upgrades this morning, but SINA (SINA), Universal Display (OLED) and Urban Outfitters (URBN) were downgraded. INTERNATIONAL MARKETS Asian markets finished mixed on Friday as investors looked forward to Monday's launch of the Hong Kong-Shanghai stock connect program. The Shanghai Composite fell 0.27% while the Nikkei was up 0.56%. European stocks are lower this morning with oil and mining stocks leading the way down. The FTSE is down 0.23%, and the DAX is off 0.41%. FUTURES & CURRENCIES West Texas Intermediate crude oil is up $0.31 to $74.52, having taken yet another beating yesterday, while NYMEX natural gas is up $0.04 to $4.01. In metals, gold is down $11 to $1,152, silver is down $0.27 to $15.44 and platinum is down $12 to $1,189. The Dollar is up against the Euro and the Yen. PUT/CALL RATIO Yesterday, 1,328,653 call contracts traded on the Chicago Board Options Exchange (CBOE) compared to 752,423 put contracts. The single-session put/call was 0.57, while the 20-day moving average is now at 0.63. TODAY'S ECONOMIC CALENDAR 08:30 AM Oct Retail Sales 08:30 AM Oct Retail Sales ex-auto 08:30 AM Oct Export Prices ex-ag. 08:30 AM Oct Import Prices ex-oil 09:55 AM Nov Mich Sentiment 10:00 AM Sep Business Inventories 10:30 AM 11/08 Natural Gas Inventories EARNINGS EXPECTED TODAY BITA PBR TTM This Morning Update was prepared with data and information provided by: PowerOptionsPlus.com - The Best Way To Find, Compare, Analyze, and Make Money On Option Investments - Forbes Best of the Web |
