Schaeffer's Top Stock Picks for '25

Aterian Stock Surges on New Shareholder Perks Program

Options volume is running at 13 times the intraday average

Deputy Editor
Aug 30, 2021 at 1:40 PM
facebook X logo linkedin


Consumer products platform concern Aterian Inc (NASDAQ:ATER) is surging today, last seen up 19.3% to trade at $7.25 at last check. This pop comes after the company announced a new benefits program, which will give shareholders discounts on best selling products on its websites, as well as Amazon.com (AMZN). According to Aterian, shareholders enrolled in the program should begin receiving weekly emails starting this Friday. 

Options traders are taking note of today's news, with volume running at 13 times what's typically seen at this point. More specifically, 45,000 calls have crossed the tape, which is 14 times the intraday average, while 8,184 puts have also exchanged hands. The most active contract is the September 10 call, followed by the 7.50 call from the same monthly series, with new positions being opened at both. This means these traders expect to see plenty more upside for Aterian stock in the upcoming month. 

Many on social media are calling ATER a strong potential short squeeze candidate. An unwinding of short interest could push ATER even higher, as there's ample pent-up buying power. In fact, the 5.78 million shares sold short represent a healthy 24.6% of the stock's available float, and would take nearly three days to cover, at the stock's average pace of trading. 

The security is recovering from an early August bear gap that sent the shares trade to their lowest level in over a year. And though ATER still has some ground to cover to overcome its 57.7% year-to-date deficit, as well as pressure from several major trendlines on the charts, it's heading for a six-day winning streak -- a feat it last achieved in February when the stock scored an all-time high of $48.99.

ATER Chart August 30

 
 

Which of These SUB-$5 Stocks Could 26x From Here? (AD)

He called a rare 11x on Tesla…

Then he called a 26x on Workhorse…

Then an even rarer 35x on Nio Inc…

Now Tim Bohen says these 5 tiny “America First” stocks are next up in 2025.

They’re trading for less than $5 right now.

But thanks to Elon & Trump’s new alliance…

They could be off to the races in Trump’s first 100 days.

And right now for a limited time…

You can get the names & tickers for just $1 here. (AD)

10 Stock Picks FREE
 
 

Featured Articles from Trusted Partners:

🚀 One Stock Pick Could Change Everything in 2025
What if one stock pick could define your success next year? Get 10 expert-vetted stocks set for 2025—plus 5 bonus picks to watch now. Get the Report →

🆕 New Options Need New Trading Strategies
Zero-DTE options are the newest (and hottest) options to trade.  Professional traders have rushed into the market and are making a mint.  Don’t get left behind - learn all about these options, how to trade them, market setups to profit from, plus much more. Download now →

👀 Revealed: 3 Defensive Stocks for Your Portfolio
Worried about the market? This free report reveals 3 under-the-radar defensive stocks for uncertain times in any kind of economy.

 

 
 

FREE Report Download

 

Follow us on X, Follow us on Twitter