Tag Archives: EXPE

10-26 Watchlist

Today marks the end to a very volatile week as worries about earnings started to weigh on sentiment. Last night we had AMZN and AAPL report earnings that missed estimates, but folks seem to be shaking it off as both stocks are green, even when the futures were down .80%. GDP came in at 2%, folks were expecting a 1.7% so the futures are now almost flat. What a market... well not really a market anymore.

EXPE beat expectation and raised outlook, and said Europe was actually better then expected for them. PCLN concerns last Q were from europe so this is very good news. I already have $590 calls on PCLN I bought yesterday at .60. This is what happened last Q in july when EXPE beat and took PCLN with here : https://www.optionmillionaires.com/2012/stock-options-gone-wild/ . If this happens again it will be like lightening striking twice. Not saying it does, but if you risk $$ on the calls, sprinkle and dabble. Last Q i was able to get some 670 calls @ .10, but PCLN didnt gap up 4.6% like it is now. Its quite possible PCLN goes over 600, so if your in a risky move, the 600/605 calls maybe the best lotto ticket.

Amazons report is worse then last Q but seems to be doing the same down then up act. I am going to try for some 235/240 weekly calls at the open and hope for dejavu there as well. Very risky.

Still very high on SODA as over 5000 calls were purchased yesterday. Still like CALL as well. SINA was a disaster this week, but maybe we spike today? Here are the strikes i am watching:

 

Stock Call/Put Strike Expiration Closing Price Entry Price
WYNN Call $125 OCT 0.06 0.05
WYNN Call $130 NOV 0.48 0.50
PCLN Call $605 OCT 1/8 0.30
PCLN Call $600 OCT 0.25 0.40
AMZN Call $235 OCT $7 0.50
AMZN Call $240 OCT 5 0.25

PLEASE REMEMBER 5 of those 6 positions EXPIRE TODAY - VERY RISKY - PAPER TRADE- DO NOT FOLLOW MY TRADES YOU WILL LOSE MONEY!

I will try $235 on AMZN and 600 on PCLN first and adjust accordingly if the prices mov away from me. Like WYNN here and will add to my NOV $130s. If the market ramps today, we may get a squeeze so WYNN may move another 4%, $125 lotts maybe in play.

That is all for now. Lets have a great end to the week!!

 

- jimmybob

Expedia (EXPE) – The Middle Class Priceline.com(PCLN)

We wrote about Expedia (EXPE) in April after earnings. With a solid earnings beat the stock rose from the low $30s to the mid $40s in two trading sessions. An astonishing move that was replayed by TripAdvisor (TRIP) a few days later. Online travel companies have been the talk of the town this past year, and Priceline.com (PCLN) has been the talk of the town the past 2 years.

With the Eurozone fiasco, traders and analysts started to bet on some headwinds for these companies, and TripAdvisor (TRIP) sure gave folks a reason to sell with a wide miss in earnings on Tuesday. Were the analysts right? It looked that way as the other stalwarts were taken down on large volume Wednesday. But did TripAdvisor's (TRIP) earnings report truly tell the story? We wrote about it quickly in our chatroom on Thursday that the results from TripAdvisors(TRIP) painted a story about the companies strategy and was not a true reflection of the online travel business.

Those thoughts were confirmed when Expedia(EXPE) posted a large beat in earnings after-hours thursday. The stock surged over 14% after hours. One would think this will translate into a large move in Priceline.com(PCLN) tomorrow, as the analysts and traders start jumping back in on a missed trade.

With Priceline.com (PCLN) earnings not slated until August 7th, there will be plenty of time to position for a move into the $800s. More to come on the Online Travel Sector in the next few days.

 

EXPEDIA INC (EXPE) – The Poorman’s Priceline.com(PCLN)


Expedia (EXPE) reported earnings last week that beat expectations. The stock took off like a rocket before pulling back in the afternoon. It seems travel is not being effected by the Eurozone mess, and quite honestly, looks in very good shape. We like Expedia (EXPE) as the POOR MAN's Priceline.com(PCLN). Company did $3.4 bil in revenues last year and has a 5 bil market cap. Something has to give. Expect the bandwagon to get crowded and Expedia(EXPE) to keep pushing towards $50 this week. The stock is currently trading at 43.40.

Disclosure: We have May 19th 45 calls @ .60/.65/.75