June 24th, 2022 Watch List

Stocks rallied on Thursday, with the S&P adding .78%, as markets took solace in yields coming off their highs. Asia markets rallied overnight while Europe indexes are in the green this morning. U.S. futures are pointing to a higher open, the Dollar and Gold are lower while Oil and Yields are higher.

And this is what UPB is reading this morning: https://www.optionmillionaires.com/morning-reads-48/

And a nice stock scan here: https://www.optionmillionaires.com/stock-scan/

Markets closed higher yesterday and the S&P is now up over 3% on the week. After a 3-day weekend filled with fear mongering and Doom & Gloom articles, somehow markets are finding some support. I mentioned on yesterdays watchlist about a potential 'bottom' as signs are there. Yesterday was another repeat of the action where beaten up names found bids and held up even when the market found some sellers. Not going to be loading the boat on long-term calls just yet, but do think there will be a playable bounce up to $390 or so on the SPY in the coming days:

ROKU reversed morning lows to closed solidly higher and over that $95 handle. It hasn't seen that 50dma since October of last year. If that holds today think the $100s come soon and maybe $115+ next week. Will continue to hold my July calls for that possible outcome:

I added TZOO calls yesterday. It is a small-cap company I have traded in the past. The financials don't make sense to me here. It trades nearly 1 times revenues yet its cash position is over half of its valuations... ie. $36 mil in cash but $71 mil valuation. They just announced a 1 million share buyback which would reduce the outstanding share count over 9%, and they are also riding the post-covid travel bump. Think this trades into the $8s and beyond in the coming weeks. May look to add some later dated strikes as well:

Kicking myself for not having enough conviction to add U this week. The stock has rallied everyday and closed up over 13% yesterday - it is up 25% this week. Still think more upside is coming for a move into the $50s. May nibble some speculative lotto calls today or some strikes into next week for that move:

It was a horrible day for NTR, closing down over 8%. Will need a large bounce here for my calls:

Still eyeing SAGE for some calls, and possibly MDGL which has been on a roll lately:

Biotechs seem to have found some support as of late so could look at other names like VRTX, BIIB, or even REGN if the market holds up today.

TREE lowered its guidance and the stock is down in the pre-market. Could be one of those buy-the-dip catalyst as they pull of the 'bad news' band-aid. Dont be surprised if I add some $60 or so calls today.

Here are the analyst changes of note:

FactSet price target raised to $418 from $402 at Deutsche Bank
Deutsche Bank analyst Faiza Alwy raised the firm's price target on FactSet to $418 from $402 and keeps a Hold rating on the shares. The company reported "strong results across all metrics" and raised its fiscal 2022 guide to the high-end of previously provided ranges, "with significant conservatism built into this new guide," Alwy tells investors in a research note
LendingTree price target lowered to $130 from $185 at Truist
Truist analyst Youssef Squali lowered the firm's price target on LendingTree to $130 from $185 after the company cut its Q2 revenue guidance but keeps a Buy rating on the shares. The sharp decline in refi volumes and pressure on purchase activity, along with slower recovery in Insurance from higher rates and inflationary pressures, drove the management to lower its guidance, and these trends are likely to last a few more quarters as rates continue to climb, the analyst tells investors in a research note. Squali adds however that easier comps starting in Q4 should see LendingTree's aggregate growth re-accelerate in 2023
Amazon price target lowered to $180 from $205 at Evercore ISI
Evercore ISI analyst Mark Mahaney lowered the firm's price target on Amazon.com to $180 from $205 and keeps an Outperform rating on the shares in the wake of a series of softening macro datapoints and as well as the firm's proprietary U.S. online shopper survey. Amazon-specific survey results were largely positive, but 58% of consumers said they expect their retail spending to be lower over the next 6-12 months and 90% of survey respondents believe the U.S. economy is very or somewhat likely to head into a recession, Mahaney tells investors
FedEx price target raised to $282 from $277 at Wells Fargo
Wells Fargo analyst Allison Poliniak-Cusic raised the firm's price target on FedEx to $282 from $277 and keeps an Overweight rating on the shares. While Q4 results were underwhelming, guidance for 2023 surpassed expectations, Poliniak-Cusic tells investors in a research note. It seems Q4 faced additional headwinds which were largely centered in Ground, but the analyst says Ground's results may have bottomed, and guidance does not appear "out of step
Citi price target lowered to $57 from $60 at Morgan Stanley
Morgan Stanley analyst Betsy Graseck lowered the firm's price target on Citi (C) to $57 from $60 and keeps an Underweight rating on the shares. All 34 banks subject to this year's tougher Fed Supervisory Stress passed, meaning that they all remained above their minimum capital requirements through the duration of the severely adverse scenario. The Fed's new Stressed Capital Buffers, or SCBs, suggest that JPMorgan (JPM), Bank of America (BAC), and Citi will need to keep dividends flat, eliminate buybacks and cut risk-weighted assets to generate a common equity tier 1 ratio above their new required minimums, Graseck argues
Sarepta price target lowered to $128 from $140 at Cantor Fitzgerald
Cantor Fitzgerald analyst Kristen Kluska lowered the firm's price target on Sarepta to $128 from $140 and keeps an Overweight rating on the shares after the FDA placed the Part B MOMENTUM SRP-5051 study on clinical hold. Sarepta's tone on the call discussing the hold was that the company feels confident in providing clarifying content to the FDA and resuming dosing expeditiously, Kluska tells investors in a research note. She believes hypomagnesemia has been well-monitored and managed in the cases where this was observed

And here is what I am watching today: U, MDGL, SPOT, ROKU, SAGE, VRTX, BIIB, REGN, LOVE, HSKA, TRIP, and W.

Let's have a great day!


JimmyBob (Scott)has been trading equities for over 15 years, a majority of which were OTC micro-cap stocks. He started trading high risk stock options over the past 7 years, and has proven winning trades in excess of 15,000%.

As one of the Co-Founders of optionmillionaires.com, Scott enjoys sharing his knowledge with other investors through timely blog posts, daily watch lists in the forum, weekly webinars, and helpful advice within the chatroom.

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