Options Trading Idea: Acquisitions Fueling Expedia’s Growth (EXPE)
This post was originally published on SeeItMarket.com
Earlier this month Expedia (EXPE) announced a $3.9B cash and stock deal for HomeAway. While it isn’t expected to be completed until the first quarter of 2016, the acquisition of the home vacation rental company puts them in a position to compete with the industry leader Airbnb. If it gets regulatory approval it would mean nearly $8B in deals in just two years for Expedia.
And this could mean upside for Expedia’s stock price near-term.
In September, Expedia closed their previously largest purchase of rival Orbitz for $1.6B. Trivago, Travelocity, Wotif are some other notable brands they’ve recently added to their portfolio to stay competitive with Priceline.com (PCLN).
Expedia stock (EXPE) trades at a P/E ratio of 20.02x (2016 estimates), price to sales ratio of 2.48x, and a price to book … Read More »
4 Stocks Holding Up During The Market Correction
(This first appeared on SeeItMarket.com where I am a contributor)
The market correction has taken several stocks down with it. And, to be fair, it may still take down the last one’s standing.
That said, I’ve been looking at several stocks, both technicals and fundamentals, and I came up with a short list of stocks that have been showing strength during the current stock market correction.
Here are four stocks that are on my watch list and look intriguing (thus far) amidst a sea of selling.
JetBlue Airways Corporation (JBLU)
Secondary indicators like the MACD and the ADX (w/+DI and -DI) are showing near-term bearish signals for JetBlue (JBLU). For the bulls, I believe that it likely means you’ll be able to buy on additional weakness to the $24.00 breakout level from earlier this month; and … Read More »
Smart Money Report
LGF- Lions Gate Entertainment will report Q3 earnings after the bell tonight. Analysts are looking for $0.44 in EPS and revenue of $834 million. The options market is implying a $2.50 move, or 7.91%, in either direction through February options expiration. Call to put ratio in (LGF) options is currently 5.11.
LNKD- LinkedIn is also set to announce Q4 earnings after the bell tonight. Analysts are looking for $0.39 in EPS and revenue of $438 million. Option traders are pricing in a $22.75 move, or 10.28%, in either direction through Friday’s close. The call to put ratio in (LNKD) is 1.32.
EXPE- A rollout from 3k Feb. $65 puts (credit) into 3k Apr. $65 puts (debit). Volume was above the open interest in the Apr. $65 puts. Earnings are due out tonight.
FLR- More than 3,600 Mar. $82.50 calls were sold … Read More »
Unusual Options Activity
In today’s Unusual Options Activity Report we highlight a put rollout in Expedia (EXPE) and call selling in Flour (FLR).
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