Apple Supplier Gears Up for Earnings

Short interest on Universal Display has seen a rapid drop

Managing Editor
Feb 19, 2020 at 2:32 PM
facebook X logo linkedin

Apple (AAPL) supplier Universal Display Corporation (NASDAQ:OLED) is enjoying a modest 0.3% lift this afternoon, last seen at $178.31 as Wall Street gears up for the company's fourth-quarter report. Slated for after the close tomorrow, Feb. 20, below we will dive into what the options market is pricing in the for the stock's post-earnings moves, and see how the equity has been faring on the charts.

From a technical viewpoint, OLED has been stuck in a series of higher lows since mid-2019. The stock recently dropped below the 200-day trendline after a run of support in October, but is now holding steady at the $170 floor. The screen maker was back near record-high territory just last month, but stalled out near the $222 mark, and gapped lower shortly thereafter. 

Daily OLED with 200MA

Looking at OLED's earnings history, the stock has closed higher the day after reporting in five of the past eight quarters, including a 15.3% in October. During the past two years, the equity posted an average 13.9% next-day swing, regardless of direction -- slightly smaller than the option's current-quarter estimated post-earnings move of 15.6%.

Short interest on OLED has dropped 14.8% during the most recent reporting period, and now accounts for 2.4% of the stock's total available float. At Universal Display stock's average pace of daily trading, it would take short sellers just over two days to buy back their bearish bets. 


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 calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI