Seaport Research upgraded Walt Disney stock to "buy" from "neutral"
Walt Disney Co (NYSE:DIS) is down 0.2% to trade at $95.85 at last glance, even after Seaport Research upgraded the blue chip stock to "buy" from "neutral," citing its improved macroeconomic outlook. The brokerage also lifted its price target to $108, which is close to analysts' consensus price target of $110.86.
Walt Disney stock is on track to snap a five-month losing streak today, and is fresh off its fourth-straight daily gain. Since the start of the year, the equity is up 6.2%. A short-term dip could soon be on the way, however, as DIS' 14-day relative strength index (RSI) of 90.6 sits firmly in "overbought" territory.
Calls have been much more popular than usual over the last two weeks. This is per DIS' 10-day call/put volume ratio of 4.86 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which ranks higher than 96% of readings from the past year.
Options are reasonably priced at the moment, too. The stock's Schaeffer's Volatility Index (SVI) of 23% ranks in the low 13th percentile of its annual range, meaning options traders are pricing in low volatility expectations at the moment.