Conagra Stock Crumbles After Revenue Miss

Options bulls have been targeting the stock over the past 2 weeks

Deputy Editor
Jul 14, 2022 at 10:40 AM
facebook X logo linkedin

Conagra Brands Inc (NYSE:CAG) is gapping lower on the charts, down 7.7% at $32.96 at last glance. The packaged food name reported fiscal fourth-quarter earnings of 65 cents per share, which was just above analysts' estimated 63 cents. However, the company also posted revenue of $2.91 billion, which came in below the expected $2.93 billion, and issued a lackluster 2022 profit outlook as higher prices pressure demand.  

CAG has had a volatile year on the charts, and is today breaking back below the 20-day moving average, a trendline that has acted as both pressure and support in the last few months. Currently down 4% year-to-date, a short-term drop could have already been in the cards, based on Conagra stock's relative strength index (RSI) of 89.8, which stands firmly in "overbought" territory. 

Meanwhile, options traders have been much more bullish than usual. In the past two weeks, 5.25 calls have been bought for every put over at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This ratio sits in the 97th percentile of its annual range, showing calls are being picked up at a much faster-than-usual rate. 

Looking at today's options activity, overall volume is running at 11 times the intraday average, with 8,336 calls and 5,526 puts exchanged so far. The July 33 put is the most popular, expiring at the close tomorrow, and with new positions being bought to open there. 


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 calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI