Schaeffer's Top Stock Picks for '25

Yingli Green Energy Hold. Co. Ltd. (YGE) Bulls Throw a Hail Mary

Yingli Green Energy Hold. Co. Ltd. (ADR) (NYSE:YGE) bottomed at a record low earlier

May 19, 2015 at 2:40 PM
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Unlike the broader equities market, Yingli Green Energy Hold. Co. Ltd. (ADR) (NYSE:YGE) bottomed at its lowest perch on record earlier -- $0.72 -- and was last seen down 34.7% at $0.97, as traders continue to hit the exits following the firm's late-Friday warning of "substantial doubt" toward its sustainability. The equity has also found a place on the short-sale restricted list. In the options pits, calls are crossing the tape at 63 times the average intraday pace, with a number of speculators throwing a Hail Mary on a near-term rebound.

Specifically, the stock's June and July 1 calls have seen the most action today, with a collective 9,909 contracts on the tape. By the looks of it, these options are being bought to open, as speculators bet on YGE rallying back above $1 by the respective expiration dates of Friday, June 19, and Friday, July 17.

Widening the sentiment scope reveals puts have been preferred over calls in recent weeks. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), YGE's 10-day put/call volume ratio of 8.07 rests in the 99th annual percentile.

Echoing this is Yingli Green Energy Hold. Co. Ltd.'s (NYSE:YGE) Schaeffer's put/call open interest ratio (SOIR) of 4.71, which ranks just 3 percentage points from a 52-week peak. In other words, short-term speculators have rarely been as put-heavy toward YGE as they are now.
 
 

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