Buzz Stocks: Ford Motor Company, Express Scripts Holding Company, and pSivida Corp.

Today's stocks to watch include Ford Motor Company (NYSE:F), Express Scripts Holding Company (NASDAQ:ESRX), and pSivida Corp. (NASDAQ:PSDV)

Dec 22, 2015 at 9:23 AM
facebook twitter linkedin

U.S. benchmarks are heading higher in light of the final third-quarter gross domestic product (GDP) reading. Among the equities in focus are automaker Ford Motor Company (NYSE:F), pharmacy benefits manager Express Scripts Holding Company (NASDAQ:ESRX), and biotech stock pSivida Corp. (NASDAQ:PSDV). 

  • is up 1.5% ahead of the open on reports the automaker is working with Alphabet Inc (NASDAQ:GOOGL) to make self-driving cars. The stock's call buyers have to be excited about the news. Nearly five Ford Motor Company calls have been bought to open for every put during the past two weeks at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). The resulting 10-day call/put volume ratio of 4.99 is only 4 percentage points from an annual high, meaning there's been a far greater appetite for long calls than what's normally seen. On the charts, it's been a disappointing year for F. The shares have dropped 11.4% year-to-date to trade at $13.73. 
  • Elsewhere, many option traders are likely displeased to hear that ESRX announced better-than-anticipated 2016 earnings expectations. The shares are ready to jump 3.8% at the open, which would lift them out of a months-long consolidation pattern in the $84-$87 range. At $87.15, Express Scripts Holding Company is 7.6% higher during the quarter, but, as alluded to, option speculators continue to bet against it. The stock's 10-day put/call volume ratio at the ISE, CBOE, and PHLX stands at 6.34 -- just 1 percentage point from an annual high. 
  • Analysts have remained in PSDV's corner, even though the shares have fallen 8.2% in the past 12 months to hit $3.70. For example, all three brokerage firms with coverage on the stock say it's a "strong buy," while its average 12-month price target of $7.63 is more than double current levels -- and represents territory not seen since early 2007. pSivida Corp. is set to explode today, booming 50.5% in electronic trading, following news the drug company's noninfectious uveitis treatment, Medidur, met its primary efficacy endpoint in a Phase 3 trial

If you are not making money with options, you aren’t buying options like this…

There is no options strategy that more perfectly approaches trading the fastest moving and most volatile stocks available in the marketplace than this one. In fact, there is no strategy that better utilizes put options for optimal returns and a real trading edge over other traders in the exact same market. New options traders fail out at an incredible rate without proper trade research, execution timing, and option picking. Capitalize on Schaeffer’s 100+ years of options trading excellence with the most coveted product launch in company history. Don't waste another second... join us right now before the next round of trades are released!



Special Offers from Schaeffer's Trading Partners