Today's stocks to watch in the news include SUPERVALU INC. (SVU), Bank of America Corp (BAC), and Omeros Corporation (OMER)
U.S. stocks are down as traders prepare for earnings season to pick up steam. Among equities in focus today are grocery stock SUPERVALU INC. (NYSE:SVU), financial firm Bank of America Corp (NYSE:BAC), and biotech Omeros Corporation (NASDAQ:OMER).
- SVU is up 3.2% at $5.17, after announcing the $1.37 billion sale of its Save-A-Lot business to private equity firm Onex Corp. Today's boost is a welcomed change of pace for SVU, which is still down over 23% since the beginning of the year, and has run out of steam several times in the $6.00-$6.20 range. In the option pits, SUPERVALU INC. sports a Schaeffer's put/call open interest ratio (SOIR) OF 0.20, which sits in just the 12th percentile of its annual range, suggesting near-term option players have rarely been more call-skewed over the last 12 months.
- BAC is trading 1% higher at $16.16, thanks to a well-received earnings report. Bank of America Corp shares have added 47% since their February low, and have spent the last several weeks near the $16 level, which has worked as a magnet for the shares. There's probably some option bears kicking rocks after BAC's earnings win, given BAC's 10-day put/call volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) of 0.38 sits higher than 78% of all other readings, indicating traders have been more bearish than usual in BAC's option pits.
- OMER is flying high, up 18.5% at $8.70, thanks to positive Phase 2 test results for its kidney disease drug. This is a much-needed win for the biotech, with Omeros Corporation hitting an annual low of $7.26 on Friday. There's likely some short sellers hitting the bricks after this latest move; even though OMER's short interest is down 3.3% over the last reporting period, shorted shares still account for nearly a quarter of OMER's float, which would take traders a whopping 37.5 days -- almost two months of trading -- to cover, at OMER's average daily volume.
Stay on top of overnight news & big morning movers. Sign up now for Schaeffer's Opening View.