tsla

Regeneron Pharmaceuticals Set to Test Chart Support After Earnings

Long calls were unusually popular on REGN in recent weeks

May 7, 2019 at 9:22 AM
facebook X logo linkedin


Regeneron Pharmaceuticals Inc (NASDAQ:REGN) stock is trading down 3.7% ahead of the bell, after the biotech reported slimmer-than-expected first-quarter adjusted earnings of $4.45 per share. Regeneron revenue of $1.71 billion also missed the mark.

The shares have sold off sharply since their March 4 17-month high of $442. The stock's $330-$335 area has recently emerged as a floor, a region that coincides with a late-June bull gap, and cushioned pullbacks in late 2018. REGN stock is poised to test this floor once again today, set to open near $331, after closing last night at $344.23 -- down 7.8% year-to-date.

Options traders were optimistic ahead of Regeneron earnings. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), the stock's 10-day call/put volume ratio of 2.29 ranks in the 70th annual percentile, meaning calls have been bought to open over puts at a quicker-than-usual clip.

Echoing this, REGN's Schaeffer's put/call open interest ratio (SOIR) of 0.77 ranks in the 7th percentile of its 12-month range. In other words, short-term options traders are more call-heavy than usual on the stock.

Given REGN's longer-term troubles, it's possible short sellers are using some of these calls to guard against any upside risk. Short interest surged 23.1% in the two most recent reporting periods to 2.35 million shares -- still a low 2.9% of the security's available float, though.

 

 

Two High-Octane Trade Ideas. One Simple Goal: Intraday Profits.

Dynamite Day Trading Signals delivers two same-day options trades every week — powered by proprietary intraday analysis and 43+ years of trading expertise.

But this isn’t just another stream of alerts.

It’s a structured plan with clear entry and exit points – designed for traders who want to act fast, trade smart, and wrap up gains before the closing bell.

No guesswork. No overnight exposure – Just two well-researched setups per week — whether you prefer buying premium or selling it.

And the results speak for themselves: subscribers have locked in +245.8% total profit over the last six months (since inception!).

👉 Start your one-month trial now for just $10, and be ready for the next trade alert.