HSBC, Royal Bank of Canada Agree to $10 Billion Sale

Calls are red-hot right now

Deputy Editor
Nov 29, 2022 at 9:49 AM
facebook X logo linkedin


British bank HSBC Holdings plc (NYSE:HSBC) just inked a deal to sell its Canadian unit to the Royal Bank of Canada (RY) for roughly $10 billion in cash. In recent years, HSBC has made efforts to improve profits, and this latest move could give shareholders a potential bumper payout.

Shares of HSBC stock are 4.2% higher out of the gate, and were last seen trading at a nearly three-month high of $30.60. Additionally, the equity is pacing for its first close above its 120-day moving average since mid-August. Year-over-year, HSBC is up 9%. 

The equity's Schaeffer's put/call open interest ratio (SOIR) of 1.14 ranks in the low 4th percentile of annual readings, indicating short-term options traders have been more call-biased than usual. 

Traders looking to get in on the bullish bandwagon could do so for a bargain. HSBC stock's Schaeffer's Volatility Index (SVI) of 27% stands in the relatively low 22nd percentile of readings from the past year, meaning low volatility expectations are being priced in at the moment. Even better, HSBC's Schaeffer's Volatility Scorecard (SVS) ranks at 82 out of 100, indicating the security tends to outperform said volatility estimates. 

 

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