- OPEN implied move is about 15% vs 4qtr avg of about 8%
- Stock is down about 58% from last year’s highs and up about 50% from the November lows.
This is obviously a tough one into earnings and not a huge margin of error. I guess the thing that sticks out to me is that the short interest in the name sits at about 54% of the float….the least bit of good news and you could get a sort of GMCR or NFLX type move. Wall street analysts a bit mixed on the name with 5 Buys, 11 Holds and 1 Sell…so there would definitely be room for upgrades if warranted which could further exacerbate a squeeze.
I’m not trading this unless something pops out to me before the close. But, if the NFLX, GMCR and AMZN calendars worked for you and you are comfortable with the risk, the FEB / Mar 60 call spread for .80 could be interesting….