Earnings Preview for Adobe Systems Inc. (ADBE)

Adobe Systems Inc. (ADBE) is a software company offering products and services for professionals, marketers, app developers, enterprises and consumers. The stock is currently trading around $79.27 at the upper end of its 52 week range of $58.51-$80.74. The stock has been outperforming the market this year rallying 9.13% year to date. ADBE is scheduled to report earnings after the closing bell today, and the stock is higher on the session by around $0.35 or 0.44% ahead of the close.

Over the past 12 quarters ADBE has rallied on earnings day 8 times with an average move of 5.47%. The stock appears bearish on chart going into the release having traded above the Ichimoku Cloud for the past month on the daily bars. Over the past 12 quarters ADBE has rallied from earnings to the nearest options expiration 8 times with an average move of 5.28%. The stock looks as if it could continue its trend and rip to the upside further in today’s session. Investors are mainly looking to see Adobe’s Creative Cloud subscriber numbers increasing as well as how the adoption of the company’s marketing cloud and strong growth strategies will fare. Other investors worry weak global economic conditions could lower demand and impact earnings negatively.

The options market is currently implying a move of around $4.24 or 5.3% in ADBE by this Friday’s close giving us targets of $83.51 and $75.03.

UnitedHealth Group Inc. (UNH) Orderflow Reaps Huge Profits in Minutes

UnitedHealth Group Inc. (UNH) is a health and well-being company providing health care benefits to various customers and markets. UNH is trading at $120.70 close to the upper end of its 52 week range of $77.53-$123.76. Year to date the stock has outperformed the market rallying 19.01%. The stock continued to rip to the upside in today’s session by about 2.61% or $3.08.

Early in the session a trader bought 1,000 of the UNH June 119 Calls for $0.89 when the stock was trading at $118.35. This order was recorded late in the day around 1pm CST on OptionHacker, and the stock rose about $2.50 to $120.85 after the trade hit the tape. Over 3,800 contracts have been traded today hinting at bullish sentiment. The UNH June 119 Calls have traded as high as $2.50 in today’s session making this a highly profitable trade. This stock ripped to the upside at 1 PM CST on intraday time frames from today’s session and continued to trade higher. The stock is most likely bullish today on news of rumors of a deal being reached or UnitedHealth Group eyeing Cigna, a competitor.

Trade: A trader bought 1,000 of the UNH June 119 Calls for $0.89
Risk: $89 per 1 lot
Breakeven: $119.89

If a trader bought a 20 lot of these Calls they would have profited $3,220 at the highs on $1,780 in risk. This is a great example of a hugely profitable UOA trade.

Next Week’s (Week of June 15th) Market Preview

The third week of June starts on Monday with the Empire State Mfg Survey at 8:30 AM ET covering a survey of manufacturers in New York State in various industries to report the change in a variety of indicators. Following this release is the Industrial Production at 9:30 AM ET to report capacity indexes and capacity utilization rates covering manufacturing, mining, and electric and gas utilities. Later on in the day is the Housing Market Index to report upon respondents’ rating of the general economy and housing market condition. Following the closing bell to be reported is the Treasury International Capital Report which is a tracking of the flow of financial instrument in and out of the US.

On Tuesday, only one announcement is to be reported an hour before the opening bell. This announcement is called the Housing Starts report, and covers the start of construction on new residential buildings. This is a major indicator because it is a powerful multiplier in the economy that causes a ripple effect among various sectors of the market.

Wednesday has three releases to watch out for beginning with the FOMC Meeting Announcement at 2 PM ET. The Federal Open Market Committee is the group who is in charge of writing the policies governing the Federal Reserve and determines the short-term interest rates in the U.S. Half an hour after this report will be the Fed Chair Press Conference and the FOMC Forecasts. The Fed Chair Press Conference is held to report quarterly economic projections. Immediately after this release is the FOMC Forecast Announcement which is simply the release of the economy’s projections.

Thursday has quite a few reports to be released throughout the day. First will be the Jobless Claims numbers at 8:30AM ET enlightening the public on unemployment claims over the past week. Following immediately after this report is the Consumer Price Index indicating the change in price level of a basket of goods or commonly known as inflation. At 10AM ET will be the Philadelphia Fed Business Outlook Survey covering a diffusion index of manufacturing conditions within the Philadelphia Federal Reserve district. Most investors watch this carefully because this indicator dictates how various investments will perform.

The last day of the trading week, Friday, has two speakers named John Williams and Loretta Mester speaking at 11:40 AM ET and 12:15 PM ET respectively. John Williams is the President of the San Francisco Federal Reserve Bank and Loretta Mester serves as the President of the Cleveland Federal Reserve Bank. This concludes the announcements and reports for this week.

Key Earnings Reports Next Week

  • After the Bell on Tuesday | Adobe Systems Inc. (ADBE)
  • After the Bell on Tuesday | La-Z-Boy Inc. (LZB)
  • After the Bell on Wednesday | FedEx Corp (FDX)
  • After the Bell on Wednesday | Oracle Corp (ORCL)

Earnings Preview for Men’s Wearhouse Inc. (MW)

Men’s Wearhouse Inc. (MW) is known for being a specialty retailer of men’s suits and a provider of tuxedo rental products in the United States and Canada. The stock is currently trading around $58.32 at the upper end of its 52 week range of $39.77-$60.67. The stock has been outperforming the market this year rallying 31.62% year to date. MW is scheduled to report earnings after the closing bell today, and the stock is lower on the session by around $0.15 or 0.26% ahead of the close.

Over the past 12 quarters MW has rallied on earnings day 7 times with an average move of 8.69%. The stock appears bearish on a chart going into the release having traded below the Ichimoku Cloud on intraday time frames where it is trading in or below the cloud on the 5 min bar. Over the past 12 quarters MW has rallied from earnings to the nearest options expiration 5 times with an average move of 8.84%. The stock looks as if it could continue its trend and drop to the downside further in today’s session. Investors are mainly looking to see how the new Chief Digital Officer will grow sales. Ben Baum has launched a new e-commerce initiative to take tailoring online in hopes of raising sales.

The options market is currently implying a move of around $3.75 or 6.4% in MW by this Friday’s close giving us targets of $62.07 and $54.57.

Krispy Kreme Doughnuts. (KKD) to report earnings after the Closing Bell

Krispy Kreme Doughnuts (KKD) is a wholesaler of doughnuts, complementary beverages, treats and packaged sweets especially known for the Company’s Original Glazed doughnut. The stock is currently trading around $17.44 closer to the lower end of its 52 week range of $14.82-$22.32. The stock has been underperforming the market falling by 11.60% year to date. KKD is scheduled to report earnings after the closing bell today, and the stock is higher on the session by around $0.16 or 0.93% ahead of the close.

Over the past 12 quarters KKD has rallied on earnings day 5 times with an average move of 11.73%. The stock appears fairly bullish on an intraday chart with time frames from today going into the release having traded above the Ichimoku Cloud on the 5 min bar. Over the past 12 quarters KKD has rallied from earnings to the nearest options expiration 5 times with an average move of 11.23%. The stock looks as if it could drop to the downside in today’s session. Investors are mainly looking to see how the company fares with the newly announced opening of 31 outlets in South Africa.

The options market is currently implying a move of around $1.53 or 8.8% in KKD by this Friday’s close giving us targets of $18.97 and $15.91.

Kythera Biopharmaceuticals Inc. (KYTH) Bullish Orderflow Leads to Big Move Higher

Kythera Biopharmaceuticals Inc. (KYTH) is a clinical-stage biopharmaceutical company engaged in the discovery, development and commercialization of prescription products for the aesthetic medicine market. KYTH is trading at $56.80 close the upper end of its 52 week range of $29.86-$57.50. Year to date the stock has outperformed the market rallying a whopping 64.1%. The stock continued to rip to the upside in today’s session by about 6.76% or $3.59.

Early in the session a trader bought 1,000 of the KYTH July 65.0 Calls for $0.69 when the stock was trading at $53.90. This order was recorded about fifteen minutes after the open on OptionHacker, and the stock rose about $3.54 to $57.44 after the trade hit the tape. Over 1,500 contracts have been traded today hinting at bullish sentiment. The KYTH July 65.0 Calls have traded as high as $2.70 in today’s session making this a highly profitable trade. This stock gapped up overnight and has continued to trade above the Ichimoku Cloud on intraday time frames from today’s session. The stock is most likely bullish today because the FDA is scheduled to discuss the company’s drug for treatment of double chin.

Trade: A trader bought 1,000 of the KYTH July 65.0 Calls for $0.69
Risk: $69 per 1 lot
Breakeven: $65.69

If a trader bought a 20 lot of these Calls they would have profited $4,020 at the highs on $1,380 in risk. This is a great example of a hugely profitable UOA trade.

Skyworks Solutions Inc. (SWKS) Bullish Options Activity Yields Major Profits in Yesterday’s Session

Skyworks Solutions Inc. (SWKS) is engaged in the production of analog semiconductors in automotive, broadband, cellular infrastructure, wireless networking, smartphone, GPS and Military applications. SWKS is trading at $101.99 around the upper end of its 52 week range of $44.06-$111.60. Year to date the stock has outperformed the market rallying 40.48%.

Early in the yesterday’s session a trader bought 1,469 of the SWKS June 101.0 Calls for $1.55 when the stock was trading at $98.81. This order was recorded about an hour after the open on OptionHacker, and the stock rose about $3.65 to $102.46 after the trade hit the tape. Over 4,200 contracts have been traded on that line hinting at bullish sentiment. The SWKS June 101.0 Calls traded as high as $3.20 in yesterday’s session making this a highly profitable trade. This stock traded below the Ichimoku Cloud on intraday time frames all week, but ripped to the upside in yesterday’s session and continued to trade above the cloud.

Trade: A trader bought 1,469 of the SWKS June 101.0 Calls for $1.55
Risk: $155 per 1 lot
Breakeven: $102.55

If a trader bought a 20 lot of these Calls they would have profited $3,300 at the highs on $3100 in risk. This is a great example of a hugely profitable UOA trade.

Major Profits on Activision Blizzard, Inc. (ATVI) Bullish Options Activity

Activision Blizzard, Inc. (ATVI) is a publisher of online games tailored for personal computer, console, handheld, mobile and tablet games. ATVI is trading at $25.55 around the upper end of its 52 week range of $17.73-$26.09. Year to date the stock has outperformed the market rallying 27.05%. The stock rose to the upside in today’s session by about 0.43% or $0.11.

Early in the session a trader bought 7,500 of the ATVI June 12th Weekly 25.5 Calls for $0.30 when the stock was trading at $25.42. This order was recorded about an hour after the open on OptionHacker, and the stock rose about $1.21 to $25.63 after the trade hit the tape. Over 10,800 contracts have been traded today hinting at bullish sentiment. The ATVI June 12th Weekly 25.5 Calls have traded as high as $0.54 in today’s session making this a highly profitable trade. This stock was trading below the Ichimoku Cloud on intraday time frames from yesterday, but ripped to the upside in today’s session.

Trade: A trader bought 7,500 of the ATVI June 12th Weekly 25.5 Calls for $0.30
Risk: $30 per 1 lot
Breakeven: $25.80

If a trader bought a 20 lot of these Calls they would have profited $480 at the highs on $600 in risk. This is a great example of a hugely profitable UOA trade.

Ocwen Financial Corp (OCN) Bullish Options Activity Telegraphs a Big Move Higher

Ocwen Financial Corp (OCN) is a financial services holding company engaged in servicing and origination of mortgage loans through its subsidiaries. OCN is trading at $10.39 around the lower end of its 52 week range of $5.66-$38.80. Year to date the stock has underperformed the market falling by 31.46%. The stock rose to the upside in today’s session by about 7.30% or $0.71.

Early in the session a trader bought 3,520 of the OCN July 11.0 Calls for $0.40 when the stock was trading at $9.88. This order was recorded about an hour after the open on OptionHacker, and the stock rose about $0.56 to $10.44 after the trade hit the tape. Over 9,260 contracts have been traded today hinting at bullish sentiment. The OCN July 11.0 Calls have traded as high as $0.72 today making this a highly profitable trade. This stock has been trading above the Ichimoku Cloud on the intraday time frames from yesterday around 10 AM CST, continuing into today’s session.

Trade: A trader bought 3,520 of the OCN July 11.0 Calls for $0.40
Risk: $40 per 1 lot
Breakeven: $11.40

If a trader bought a 20 lot of these Calls they would have profited $640 at the highs on $800 in risk. This is a great example of a hugely profitable UOA trade.