Buzz Stocks: Weight Watchers International, Inc., Sunedison Inc, and Republic Airways Holdings Inc.

Today's stocks to watch include Weight Watchers International, Inc. (NYSE:WTW), Sunedison Inc (NYSE:SUNE), and Republic Airways Holdings Inc. (NASDAQ:RJET)

by Karee Venema

Published on Feb 26, 2016 at 9:29 AM
Updated on Feb 26, 2016 at 9:33 AM

Stocks are headed for a higher open, with traders keeping a close eye on rising crude futures and the latest update on fourth-quarter gross domestic product (GDP). Among equities in focus are weight management firm Weight Watchers International, Inc. (NYSE:WTW), alternative energy company Sunedison Inc (NYSE:SUNE), and regional airline Republic Airways Holdings Inc. (NASDAQ:RJET).

  • Not even Oprah can save WTW, with the shares bracing for a 26% drop out of the gate, after the company reported a wider-than-expected loss in the fourth quarter and said revenue fell 21%. Additionally, the stock was smacked with a $3 price-target cut to $14 at Barclays. Heading into today's session, the stock was up 55% from its Feb. 8 year-to-date low of $10.03, and closed last night at $15.55. Meanwhile, short sellers have been raising the bearish stakes recently, with short interest jumping 9.1% in the latest reporting period. In fact, short interest accounts for more than two-thirds of Weight Watchers International, Inc.'s available float, or 6.2 times the average daily trading volume.

  • SUNE soared 36.5% yesterday to settle at $1.72 on well-received M&A news, and the stock looks ready to extend this momentum today -- up 33% in electronic trading. Helping boost the shares is news that a judge has refused to issue Appaloosa Management's injunction that would keep TerraForm Power Inc (NASDAQ:TERP) from purchasing Vivint Solar Inc (NYSE:VSLR) assets -- a hurdle in Sunedison Inc's proposed takeover of VSLR. Longer term, shares of SUNE are down 92.2% year-over-year. In the options pits, though, long calls have been popular, per the stock's 10-day International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) call/put volume ratio of 7.41 -- in the 85th annual percentile.

  • After closing Thursday at $3.44, RJET is set to drop 88% out of the gate -- into record-low territory -- on reports the company has filed for Chapter 11 bankruptcy protection. According to CEO Bryan Bedford, the filing "is a result of our loss of revenue during the past several quarters associated with grounding aircraft due to a lack of pilot resources, combined with the reality that our negotiating effort with key stakeholders shows no apparent prospect of a near term resolution." Short sellers have certainly been on the right side of Republic Airways Holdings Inc., which was already down 73% year-to-date heading into today's session. Short interest surged 23.9% in the last two reporting periods, and now accounts for more than 18% of the security's float.
Sign up now for Schaeffer's Opening View newsletter to get a head start on all the major pre-market news!

A Schaeffer's exclusive

6 Sectors for Summer

Access your FREE insider report before it's too late!



NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories

The Next Big Player in U.S. MJ Boom
Most pure-play marijuana stocks in the U.S. trade on the Over-the-Counter stock exchange.
Wall Street Roars Higher Amid Civil Unrest
Investors weighed a mixed bag of jobs data
AstraZeneca Stock Flat Despite COVID-19 Vaccine News
AstraZeneca saw a rise in capacity for its COVID-19 vaccine candidate
The Next Big Player in U.S. MJ Boom
Most pure-play marijuana stocks in the U.S. trade on the Over-the-Counter stock exchange.