Best Buy Co. Inc. BBY – Options Update
We signaled a range of BBY options yesterday after noticing a hefty earnings beat that was driving the stock to gap up significantly in the premarket.
The bullish trend continued throughout the day, as BBY stock traded in a range from 37.66-39.36. That facilitated some big-time single-session gain opportunities for our specified targets, which were the BBY Weekly 36.50-39 Calls.
It wouldn’t have mattered which set of contracts in the highlighted range were selected, as every single one put up a standout performance, yielding the following potential gains:
$36.50 Calls – Range: 1.43-2.53 – Max Gain: 77%
$37 Calls – Range: 1.10-2.32 – Max Gain: 111%
$37.50 Calls – Range: .77-2.78 – Max Gain: 261%
$38 Calls – Range: .53-1.52 – Max Gain: 187%
$38.50 Calls – Range: .32-2.23 – Max Gain: 597%
$39 Calls – Range: .20-.80 – Max Gain: 300%
For us to remain interested in continuing to track these ideas, we’ll need to see BBY maintain support above the 37.50-mark on any pullbacks.
World Poker Fund Holdings, Inc. WPFH
We also tagged WPFH in yesterday morning’s premarket report, and while it didn’t produce a monster move like the aforementioned options plays, it did manage to make a notable increase on the day.
From a low of .53, the stock traded up to .70, marking an intraday move of 32% We’re going to want to continue to keep an eye on this play as it continues to make headway off of its recent bottom.
Dominovas Energy Corp. DNRG
Speaking of stocks where we’ve caught a bottom, we want to comment quickly on the progress of DNRG, a stock which has appeared in our reports on multiple occasions.
Our most recent mention of this play was earlier this month, following which time we observed a low of .0015. Yesterday the stock attained a new high of .0055, representing an increase of 267% in just a few weeks’ time.
Vista Outdoor, Inc. VSTO – Fresh Options Idea
VSTO is an interesting candidate for a forthcoming recovery, and we want to be waiting in the wings for that possibility. Despite a recent earnings miss a few weeks back, coupled with an analyst downgrade, the company’s long-term figures show a slow but steady growth in key areas.
The chart itself is egregiously oversold, with this most recent selloff lasting through the past ten sessions. Whenever we see a stock with solid fundamentals getting abused like this, our bottom-feeding alarms begin to sound.
We’re going to watch this play closely in the weeks ahead, along with a pair of extended-term contracts in its options chain, specifically, the VSTO 10/21 $35 and $40 Calls. A recovery of any significance should produce some interesting activity in those plays.
Extended Watchlist:
INSY, RADA, CBR, NMBL, BSRC, BTHE