27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
Hibbett Sports (NASDAQ:HIBB) shares made gains following a fourth-quarter earnings and sales beat Friday.
The footwear retailer reported fourth-quarter earnings of 57 cents per share, beating estimates by 19 cents. Sales came in at $306 million, beating estimates by $27.51 million.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
The Analyst
Raymond James analyst Dan Wewar maintains a Market Perform rating on Hibbett Sports.
The Thesis
"The sporting goods sector continues to struggle with growing competitive pressures, mediocre demand and increasing channel conflict between the key brands, specialty retailers and mass market retailers," Wewar said in a Friday note.
Despite the hardships facing the industry, the analyst said Hibbett Sports entered CY19 with relatively attractive EV/EBITDA and P/E valuation metrics, creating opportunities for short-term price appreciation on a favorable fourth-quarter release and FY20 guidance.
FREE REPORT: How To Learn Options Trading Fast
In this special report, you will learn the four best strategies for trading options, how to stay safe as a complete beginner, a 411% trade case study, PLUS how to access two new potential winning options trades starting today.Claim Your Free Report Here.
Although Wewar he is not taking a more constructive view on the rating for Hibbett Sports, he did say the company is showing faster-than-expected e-commerce growth and stabilizing SG&A metrics.
“The online channel was accretive to earnings in [the fourth quarter] and is expected to be accretive in FY20 despite further investments in capability and functionality. Further, online customers are typically more promotions-driven, providing Hibbett quicker avenues to liquidate its excess inventory."
Raymond James raised its FY20 operating EPS estimate for Hibbett from $1.80 to $1.93.
Price Action
Hibbett Sports shares were up 1.61 percent at $22.05 at the time of publication Monday.
Related Links:
Is Nike A Victim Of Its Own Success?
What Broken Shoe? Nike Shares Rally, Brand Named Most Valuable After Zion Williamson Incident
Photo by Thomson200/Wikimedia.
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.