GOOS Stock Crumbles After Profit Margin Miss

Options bears are likely cheering GOOS stock's post-earnings slip

Digital Content Manager
Aug 14, 2019 at 9:33 AM
facebook X logo linkedin


Outerwear manufacturer Canada Goose Inc (NYSE:GOOS) is down after stepping into the earnings confessional this morning and posting a second-quarter earnings and revenue beat, thought profit margins were weaker than expected. The company cited a higher portion of its sales going to department stores for the lower margins. At last check, GOOS is down 5.9% at $40.68. 

This marks the lowest point the stock has traded in over a month, and has GOOS threatening to close back below a recent floor at its 60-day moving average. Looking back, GOOS has been struggling on the charts since its June rally lost steam right beneath the $48 region. Now, the security is roughly 7.2% off its year-to-date breakeven level. 

While analysts have been quiet on the apparel concern so far today, D.A. Davidson piped up just last week encouraging investors to buy the stock's recent dip. Elsewhere, four analysts are calling the stock a "strong buy" while three have slapped it with a tepid "hold." What's more, the consensus 12-month target price of $56.86 represents a level the equity hasn't touched since April. 

On the other hand, options bears ramped up their pessimistic positions ahead of Canada Goose's earnings report. On the the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) GOOS sports a 10-day put/call volume of 1.56. This ratio sits higher than 97% of all other readings from the past year.

In the same vein, the security's Schaeffer's put/call open interest ratio (SOIR) of 1.55 also sits in the 97th percentile of its annual range. This indicates that short-term options players have rarely been more put heavy in the last 12 months. 

 

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 C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI