Q2 STOCKS TO BUY

Overstock Unveils New Trading Platform; Citron Pivots on Twitter

Citron offered rare glowing praise for TWTR stock

Managing Editor
Jan 25, 2019 at 2:19 PM
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The Dow is cruising today toward its longest weekly winning streak since August. Among names making notable moves are blockchain concern Overstock.com Inc (NASDAQ:OSTK) and social media entity Twitter Inc (NYSE:TWTR) are higher, while medical device maker Helius Medical Technologies (NASDAQ:HSDT) is lower. Below, we'll take a look at what's moving the shares of OSTK, TWTR, and HSDT.

OSTK Soars After tZERO Kickoff

One of the better stocks on the Nasdaq today is Overstock, up 21.3% to trade at $19.18. Last night, the blockchain company announced its security token trading platform tZERO had gone live. D.A. Davidson called the platform an "incredibly valuable asset," and reiterated its "buy" rating and $58 price target on the shares. OSTK is on track to topple its 50-day moving average for the first time on a closing basis since early August. Year-over-year, though, the equity has racked up a 73% deficit.

So far today, about 20,000 OSTK call options have changed hands -- five times the average intraday pace, more than triple the number of puts traded, and volume pacing for the 99th percentile of its annual range. Most popular is the weekly 1/25 18-strike call, where it seems traders are taking profits ahead of expiration tonight.

Citron Touts Twitter's New Queen

Twitter stock is up 4.1% to trade at $32.91, after notorious short seller Citron Research waxed optimistic on the social media name. Citron flipped from its recent criticism of Twitter, and instead touted the tweets of U.S. Representative Alexandria Ocasio-Cortez as a huge positive for the social media name.

Despite the jump today, TWTR is still on track for a weekly loss, its first of 2019. The shares' 200-day moving average has been a stiff ceiling to start the new year.

In TWTR's options pits, calls are all the rage. At last check, 81,000 calls have changed hands, double the average intraday pace and triple the number of puts traded. Leading the charge is the weekly 1/25 33-strike call, but there is also activity at the 32-, 32.50-, and 31-strike calls ahead of expiration.

FDA Request Sends HSDT Sputtering

Helius Medical Technologies stock is down 6.3% to trade at $7.13, and earlier tapped a two-year low of $6.72, after the Food and Drug Administration (FDA) requested additional information on the company's request for clearance of its Portable Neuromodulation Stimulator (PoNS) device. HSDT is now staring at a 22% deficit in 2019, and is currently on the short-sale restricted (SSR) list. The one analyst in coverage may want to rethink its "strong buy" stance and $14 price target on the equity, which sits in territory not seen since November 2017.

 
 

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