MMR

A Surging Tech Stock With Cheap Options

Symantec options are attractively priced

Sep 12, 2017 at 10:07 AM
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Symantec Corporation (SYMC) is up 32% year-to-date and 29% year-over-year. Following a recent bounce from its 200-day moving average, SYMC is now trading above the $29.50 area -- which roughly coincides with a double of its early 2016 lows -- and could have room to run higher from here.

170908WKEND_SYMC

 

Analysts remain skeptical, however. Of the 20 brokerages covering SYMC, 13 rate the stock a "hold" or "sell." This means that there is plenty of room for upgrades, which could provide tailwinds for SYMC.

Now is an opportune time to buy premium on SYMC options. This is according to its Schaeffer's Volatility Index (SVI) of 24%, which ranks higher than just 16% of all other readings from the past year. This implies that near-term options are pricing in relatively low volatility expectations.

Furthermore, the stock's Schaeffer's Volatility Scorecard (SVS) stands at 75, which means SYMC has a strong tendency to make bigger moves on the charts than its options have priced in.

Subscribers to Schaeffer's Weekend Trader Series options recommendation service received this SYMC commentary on Sunday night, along with a detailed options trade recommendation -- including complete entry and exit parameters. Learn more about why Weekend Trader is one of our most popular options trading services.

 

AI has exploded ever since ChatGPT set the world on fire near the end of 2022.

Numerous companies with connections to artificial intelligence have seen their stocks soar.

That includes Nvidia, the poster boy of AI.

Its stock has skyrocketed 716% since ChatGPT’s debut. But here’s the thing …

While everyone’s still counting their money from this first AI boom … Nvidia and countless others have moved on to the next stage.

That includes Big Tech, which is currently making a series of peculiar investments in a few strange companies. This has nothing to do with tech. At least on the surface …

Yet, these strange investments could be the early ripples of a massive wave …Without them, ChatGPT could stop operating … Amazon, Google, Microsoft and more could see profits drop drastically.

In fact, Elon Musk says these investments are critical when it comes to solving the number one problem facing AI.

Now, Silicon Valley legend Michael Robinson has identified two companies that could play a significant role in the solution.

Their stocks just may be the key to AI 2.0.

Find out more about these two companies today.
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