SMPL Update, Form-4 Alert

The Simply Good Foods Co. SMPL – 
Options Review 
On Thursday morning, SMPL was among the fresh options trading targets that we had mentioned in our premarket report.  We were looking specifically at the SMPL 08/21 $20-22.50 Calls.

Despite it being one of our relatively rare longer-term swing-trade ideas, with tons of time remaining until expiration, we did see some early gains right off the bat from those plays as the week drew to a close.

08/21 $20-22.50 Calls
$20: 1.50-2.20 (+47%)
$22.50: .70-1.30 (+86%)

We’ll certainly continue to have these targets on watch in the weeks and months ahead, it was good to see some instantaneous opportunity arise.

Fresh Ideas: 
SPY Weekly $284-286 Calls 

AxoGen Inc. AXGN – Form-4 Alert

We would also like to make mention of AXGN this morning. which we caught sight of during a routine Form-4 scan. We’ve got the CEO picking up shares and adding to his already considerable position just as the stock was preparing to register new annual lows.

We generally like to put stocks in this situation on watch, and will be anxiously awaiting the company’s quarterly results due in roughly two weeks.

Extended Watchlist:

COVID Test FDA Green-Lit to Begin Shipments

Nova Bay Pharmceuticals, Inc. NBY

We are going to want to keep an eye out for NBY this week. The stock saw a surge last week, and is scheduled to report earnings on Thursday. The company recently launched a line of anti-microbial disinfecting wipes for the face and eyes. This has a unique synergy with the current health crisis, as one of the piomary ways to help slow the spread of COVID-19 is to limit the germ exchange which takes place when touching your face, and then touching objects around you.

It seems evident that consideration for how a stock related to the sweeping pandemic which experts warn could persist for as much as 18 months, is going to have to be built into virtually every idea we look at for our reports for the foreseeable future.

Aytu BioScience, Inc. AYTU

We’ve been tracking AYTU for a couple of weeks now, beginning with our report from the morning of the 10th. We want to rehash our interest in this coronavirus related play as the company announces the official FDA distribution green light for its rapid point-of-care diagnostic test.

We already witnessed a huge run by AYTU since we’ve been covering it, which was later mitigated  by a large public offering. However, we want to continue to stay hot on its trail in the wake of this morning’s news, which we’ll share below. The company expects the first shipment of 100,000 tests to be distributed presently, which is especially significant, considering that exceeds the total number of Amicans who have been tested so far, as the US lags behind almost every major country in that regard.

Aytu BioScience, Inc. (NASDAQ:AYTU), a specialty pharmaceutical company focused on commercializing novel products that address significant patient needs announced today that it has received confirmation from the U.S. Food and Drug Administration (FDA) that the company may begin distribution of its Coronavirus Disease 2019 (“COVID-2019”) IgG/IgM Rapid Test throughout the United States. The COVID-19 IgG/IgM Rapid Test is intended for professional use and delivers results between 2 and 10 minutes at the point-of-care. (>>Read Full PR)

Target Corp. TGT

We also want to quickly update readers on a longer-term options options idea we recently submitted, the TGT 04/03 $98-90 Puts. It’s a wide range of contracts and toward the end of last week, the first of those began being pushed into the money as TGT fell.

The total ranges are as follows on the $98 and $97 Puts, and we are going to want to continue to monitor the entire range between now and next Friday, because this idea may just be getting warmed up. 

 2.51-5.79 (+131%)
3.50-5.59 (+60%)

Extended Watchlist:

Blue Horseshoe Stocks: Reviewing COTE, DNRG & More

Coates International, Ltd. COTE

After tracking COTE over a monstrous 560% swing (.0025-.0165) on Tuesday, we cautioned readers that a dip-and-rip might be in the cards yesterday, and it’s a good thing that we did.

The follow-up move managed by COTE was smaller by comparison, but still very impressive in and of itself. The daily range on the stock was huge, as it surged from .0068 and once again ran into resistance at .0165. It marked an intraday move of 142% and came on more than six times the monthly average volume.

We’ll continue to reserve a place on our watchlist for COTE as we head into the end of the week; if its activity thus far is any indicator, we may yet see the development another opportunity for healthy daily gains.

Dominovas Energy Corp. DNRG

DNRG exploded off of our extended watchlist yesterday, where we included a tag of it and the interesting PR we found on a routine scan. It appeared others found it interesting as well, because the stock went on an absolute rip from .005 to .0125; a single session swing of 150%

It was fortunate that we were vigilant enough to catch this play for ourselves and our readers, which up until this week, had been trading by appointment only. After the considerable momentum in the stock yesterday, we’ll be tracking its activity for the remainder of the week.

Yesterday’s Successful Options Ideas

We tossed out some options-trading ideas in yesterday’s premarket report, and the profits were certainly there for the taking:

LinkedIn Corp. LNKD – We provided a wide range of LNKD contracts to monitor- Weekly $205.00-212.50’s:

$205’s – Range: 6.00-10.30 – Max Gain: 72%
$207.50’s – Range: 4.20-8.00 – Max Gain: 90%
$210’s – Range: 2.60-6.00 – Max Gain: 131%
$212.50’s – Range: 1.58-4.00 – Max Gain: 153%

The longer-term ideas we included for LNKD also bore fruit immediately:

08/21 $220’s – Range: 9.80-12.00 – Max Gain: 22%
08/21 $225’s – Range: 8.15-9.90 – Max Gain: 21%
08/21 $230’s – Range: 5.10-8.00 – Max Gain: 57%


Petroleo Brasiliero SA (Petrobras) PBR –  We tagged the Weekly PBR $8.00-9.00 Calls for observation on PBR, and while the $8’s didn’t see much in the way of open interest, the $8.50’s ran from .38-.63 (+65%) and the $9’s made an even double bagger from .11-.22.

Extended Watchlist: