Regions Financial Stock Brushes Off Earnings Blunder

The bank stock is still staring up at its 40-day trendline, though

Deputy Editor
Apr 17, 2020 at 10:01 AM
facebook twitter linkedin


Regions Financial Corp (NYSE:RF) shares are shaking off a less-than-stellar first-quarter earnings report, up 5.8% to trade at $9.37, at last check. The company reported adjusted first-quarter earnings of 14 cents per share on $1.41 billion in revenue, lower than analysts' anticipated 23 cents per share and $1.46 billion.

On the charts, Regions Financial stock gapped lower in concert with the broad market sell-off, culminating in a nearly seven-year low of $6.95 on March 19. Today, RF is staring up at its 40-day moving average, a trendline that's contained the stock's 3.7 quarterly gain. Longer term, the equity is currently down 48.4% year-to-date. 

Analysts are split coming into today, with eight of the 18 analysts in coverage sporting a "strong buy," and nine considering a tepid "hold" with only one "strong sell." Meanwhile, the 12-month consensus target price of $12.51 is a 41.4% premium to current levels. However,  RF has withstood 10 price-target cuts this April. 

In the options pits, puts have picked up in popularity. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), 1.29 puts have been bought for every call in the past 10 days. This ratio sits in the 88th percentile of its annual range, suggesting the appetite for puts is higher than usual.

 

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