Fifth Third Stock Slipping Ahead of Earnings

The stock has a fairly bleak post-earnings past

Deputy Editor
Jan 18, 2023 at 3:38 PM
facebook twitter linkedin

Fifth Third Bancorp (NASDAQ:FITB) is one of the many bank giants reporting earnings this week. The Cincinnati-based firm's fourth-quarter earnings report is due out before the open tomorrow, Jan. 19, in which analysts expect profits of $1.00 per share. FITB is slipping ahead of the results, down 3.4% at $32.95 at last check today. 

A look at its post-earnings history shows Fifth Third stock finishing only one of the last eight next-day sessions higher. Over these past two years, FITB has averaged a 2.9% swing the following day, regardless of direction. This time around, the options pits are pricing in a 5.3% move. 

On the charts, the security's descending 180-day moving average has pressured the stock lower over the past couple months. Year-over-year, the stock is down 33.5%. 

FITB Jan18

Now could be a good time to weigh in on the security's next move with options. The stock is seeing attractively priced premiums at the moment, per FITB's Schaeffer's Volatility Index (SVI) of 31%, which sits in the 14th percentile of its annual range. It's also worth pointing out that the equity ranks low on the Schaeffer's Volatility Scorecard (SVS), with a score of just nine out of 100. In other words, the security has consistently realized lower volatility than its options have priced in, making the stock a potential premium-selling candidate.


Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released! 



Special Offers from Schaeffer's Trading Partners