AZO puts have been popular
AutoZone, Inc (NYSE: AZO) announced a series of precautions it will take in response to COVID-19. One of those precautions included adding additional time off for eligible employees, with 80 hours for full-time employees and 40 hours for part-time. Additionally, AutoZone has also reduced most stores’ hours, increased cleaning and disinfecting, and now offers curbside pickup options. At last check, AZO stock is up .15% trading at $919.28.
Today's bump puts the security just above its 20-day moving average, a trendline that’s acted as pressure on the charts since early January. And while AZO stock still sits at a 26.5% deficit year-over-year, it did just recently bounce back from a nearly two-year low just above the $684 level.
Analysts are bullish on AZO stock. Of the 13 analysts in coverage, nine rate it as a “buy” or better, while the remaining four sport a “hold” position. Mirroring this is the stock’s consensus 12-month price target of $1,104.60, which is a 26.2% premium of the stock’s current levels.
In the options pits, puts have been preferred in the last 10 days. AZO sports a 10-day put/call volume ratio of 2.28 at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits above all but 1% of readings during the past 12 months. In other words, this ratio suggests a higher-than-usual appetite for puts.