Oppenheimer upgraded DKS to "outperform" from "perform"
The shares of Dick's Sporting Goods (NYSE:DKS) are 2.8% at $112.15 at last glance, following an upgrade from Oppenheimer to "outperform" from "perform." The firm called the stock "underappreciated," and sees a rally ahead.
On the charts, DKS is down 5.1% year-to-date, and has been trading choppy since its summer rally. The stock is currently above all notable daily moving averages, however, and its ascending 60-day trendline has been providing close support recently.
An unwinding of pessimism amongst options traders and other analysts could provide tailwinds. Of the 18 analysts in coverage, eight still sport a tepid "hold" rating.
At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), DKS' 50-day call/put volume ratio of 1.82 ranks higher than 97% of readings from the past year, indicating puts being picked up at a much faster-than-usual rate in the last 10 weeks.
There is plenty of short-covering potential, too. Short interest makes up 7.1% of the stock's available float, or over 11 days' worth of pent-up buying power.