Stocks On the Move: Cynosure, Inc., Kate Spade & Co, and NQ Mobile Inc

CYNO, KATE, and NQ are among the stocks on the move today

Jan 23, 2017 at 12:16 PM
facebook twitter linkedin

U.S. stocks are reeling as President Donald Trump's first moves in office spark fears of protectionism. Among specific equities in focus today are healthcare concern Cynosure, Inc. (NASDAQ:CYNO), accessories maker Kate Spade & Co (NYSE:KATE), and telecom services stock NQ Mobile Inc (ADR) (NYSE:NQ). Here's a quick look at what's moving CYNO, KATE, and NQ.

  • CYNO has soared over 9% to trade at $47.83, after Bloomberg said the firm is exploring strategic options, including a potential sale. However, the stock is running into trouble around its 200-day moving average, which rejected a pair of breakout attempts in the past two months. Meanwhile, short sellers are likely kicking rocks amid Cynosure, Inc.'s intraday gains. Nearly 14% of the stock's float is dedicated to short interest, which would take more than a week to cover, at CYNO's average daily volume.
  • KATE is up nearly 4% at $18.45, on rumblings the firm is attracting takeover interest from Coach Inc (NYSE:COH) and Michael Kors Holdings Ltd (NYSE:KORS). In fact, M&A buzz dating back to late December has lifted Kate Spade & Co considerably, relative to its recent three-year lows. The brokerage bunch, meanwhile, has piled into the stock's bullish corner. Nine of 14 analysts rate KATE a "buy" or better, compared to five "holds" and not a single "sell" opinion.
  • NQ has entered into a non-binding letter of intent for the sale of its equity interests in FL Mobile. As a result, NQ Mobile Inc stock has jumped 8.2% to $3.55, on track for its highest close since late November -- as well as its first close atop the 80-day moving average since October. Options traders should welcome these gains with open arms. During the past two weeks at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), NQ has racked up a top-heavy call/put volume ratio of 26.42 -- in the bullishly skewed 90th annual percentile.
Don't miss the market's next move! Sign up now for Schaeffer's Midday Market Check



These investors are using the market's volatility to their advantage and scoring triple-digit gains on many of their trades.

Even in today's sideways bear market, this trading strategy has continued to provide consistency and profitability to a small group of investors. By using this approach, these traders are removing directional risk and still hitting triple-digit returns. If you want access to this strategy, and lower risk with higher returns sounds good to you, then don't wait another minute.

Join us now to receive our next trades the moment they come out!


Common mistakes options traders make


Special Offers from Schaeffer's Trading Partners