Schaeffer's Options Center
Sponsored by:
Schaeffer's Daily Option Blog

by 5/31/2000 10:24 AM
Stocks quoted in this article:
With 97 percent of the companies in the S&P 500 Index (SPX - 1429.95) having logged their first-quarter earnings reports, the results were certainly impressive. The average positive earnings surprise was 38 percent, which compares very favorably versus past quarters. The negative earnings surprises were on par with past quarters at six percent. It will be telling if the expectations of an equally solid second quarter emerge. However, the market's discounting function may already be at work. In the same way that stock prices soared in the first quarter, particularly for technology stocks, the current decline may be a function of investors casting their dollar votes in favor of more modest earnings for the quarter ending in June. The quarter ended in December saw 34 percent of SPX companies post positive earnings surprises and six percent record negative earnings surprises.<
permalink

by 5/31/2000 10:23 AM
Stocks quoted in this article:
Ask Jeeves (ASKJ - 21-1/8) is an Internet search engine. Before the open today, the company reluctantly announced that its operating chief was stepping down to join the team at a privately-held Internet service firm. News of this management shake-up was not initially greeted warmly on the Street, as the stock gapped six percent lower at the open en route to sloughing off 12 percent. The shares have quickly recovered, however, and are presently posting a less than five-percent loss around 10:15 a.m. ASKJ has endured a tumultuous 2000 nonetheless, recoiling by nearly 90 percent since its mid-November peak of 190-1/2. Since early March, the equity has been struggling with overhead resistance in the form of its 10-day and 20-day moving averages.
permalink

by 5/31/2000 10:23 AM
Stocks quoted in this article:
Intimate Brands (IBI - 23-3/16) is the parent of Victoria's Secret and Bath & Body Works. The majority of the company is owned by clothing retailer The Limited (LTD - 24-3/16). This morning, on the last day of May, IBI released its sales numbers for the fifth month of the year. The firm's same-store sales climbed by 11 percent compared to 1999 results, while total sales jumped around 14 percent. Both IBI and LTD are trading fractionally higher in early-morning activity. For the past couple of weeks, IBI has been consolidating within striking distance of its annual peak. Since May 11, the shares have been vacillating between the 21-3/4 and 23-3/4 levels. Since late February, IBI shares have demonstrated an upward bias, climbing 65 percent over the past three months. Options players are showing pronounced signs of optimism on the stock, as IBI's Schaeffer's put/call open interest ratio (SOIR) stands at 0.41. This weighs in lower than 92 percent of all annual SOIR readings on the retailing stock. This means that speculators are window shopping more calls (bullish bets) than puts (bearish bets) than almost any time relative to the past year. So far today, option activity has been nonexistent on both IBI and LTD.
permalink

by 5/31/2000 8:54 AM
Stocks quoted in this article:
During yesterday's tech rebound, call activity was brisk on a number of old favorites. Highlighting the day was the heavy volume on America Online (AOL - 53-9/16). In fact, AOL call options took the top three spots on the CBOE most-active call list on Tuesday. A pair of out-of-the-money calls saw the heaviest activity. The July and June 60 calls saw over 49,600 contracts and 32,900 contracts cross the tape, respectively. Over 8,500 contracts were traded on the third most-active call option on the CBOE, the AOL June 50 call. AOL tacked on about 10 percent on Tuesday en route to closing above its 10-day moving average. The shares must still contend with their overhead 20-day moving average, which will reside around 54 when trading begins today.
permalink

by 5/30/2000 4:41 PM
Stocks quoted in this article:
A.G. Edwards (AGE - 34-11/16) also decreased its coverage on home-improvement retailer Lowe's Companies (LOW - 47) today, reducing its rating from a "buy" to an "accumulate." This brokerage downgrade didn't seem to phase LOW shares, however, as the equity finished the session up more than three percent. Moreover, the Street remains altogether positive on the stock, as Zacks Online reports that 22 of the 24 analysts covering LOW shares have named it a "strong buy" or a "buy." Technically speaking, over the past six weeks, LOW has declined just over 30 percent, dropping below all significant moving-average trendlines along the way. Today's advance took the stock less than a point away from moving above its 10-day trendline.
permalink

Featured Brokers
ADVERTISEMENT
Unusual Option Volume
Option Flow
ADVERTISEMENT
Most Active Stocks
Most Active Option Strikes
Largest Open Interest

Partner Center

© 2014 Schaeffer's Investment Research, Inc. 5151 Pfeiffer Road, Suite 250, Cincinnati, Ohio 45242 Phone: (800) 448-2080 FAX: (513) 589-3810 Int'l Callers: (513) 589-3800 Email: service@sir-inc.com

All Rights Reserved. Unauthorized reproduction of any SIR publication is strictly prohibited.

Market Data provided by QuoteMedia.com | Data delayed 15-20 minutes unless otherwise indicated.