Shutterfly Price Target Cut Before Earnings

SFLY shares have struggled since their June peak

Feb 1, 2019 at 2:40 PM
facebook X logo linkedin


Shutterfly, Inc. (NASDAQ:SFLY) was last seen 2.4% lower at $44.87, as traders react to a sharp price-target cut to $70 from $90 at SunTrust Robinson. This comes as the company prepares to report earnings after the close next Tuesday, Feb. 5. Looking back, the shares suffered notable post-earnings losses of 17.4% and 5.6%, respectively, after Shutterfly's last two earnings releases, though in this quarter last year they jumped almost 28% the session after reporting.

Direction aside, options traders are at least betting on a sizable move after SFLY's release. For now, the market is pricing in a 15.8% post-earning move from the security, and data from the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) shows somewhat bullish sentiment, judging by the strong demand for long calls over puts in the past two weeks -- though this was amid low absolute volumes.

At the same time, the interest in calls could be from Shutterfly short sellers. These bears control 12.5% of the stock's float, and buying calls would allow them to hedge against an unexpected upside move in the shares.

Turning to the charts, SFLY got crushed in the second half of 2018. The security touched an all-time high of $100.34 on June 5, and then promptly sold off for months before bottoming at $35.08 on Christmas Eve -- an area that acted as a technical floor for the equity from 2013 to the end of 2017. The stock is now testing the support of the 50-day moving average, a former layer of resistance.

sfly stock chart

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI