Shares of Celldex Therapeutics Inc (NASDAQ:CLDX) moved higher by 1.5% from the previous closing price. A Form 4 filing filed with the SEC on Wednesday, June 10 showed that Executive VP & CSO Keler Tibor bought 5,000 shares at an average price of $2.99. The transaction moved the executive's stake in Celldex Therapeutics Inc. to 7,357 shares.
Why Insider Transactions Are Important?
While transactions from an insider shouldn't be used as the sole item to make an investment or trading decision, an insider buying or selling stock in their company can be a good added factor that leads to more conviction in a decision. Insiders buying stock after a notable sell off can indicate an insider's long-term belief in the success of the company; insiders buying stock at new highs can be an indication the exec doesn't feel the stock is overvalued. Insiders who sell stock at new lows could be anticipating some capitulation moment. If the insider sells at new highs, it could point to the intention to "take some profit" and "lock in a gain. "
Important Transaction Codes
Investors prefer focusing on transactions which take place in the open market, indicated in the Form 4 with codes P for purchase and S for sale. if the transaction was an open-market transaction, that means that the insider made a concious decision for the company's stock moving forward. Transaction codes other than P or S are often viewed with less conviction as they are often not tied to a decision by the exec. As an example, transaction code C indicates the conversion of an option. Transaction code A indicates the insider may have been forced to sell shares in order to receive compensation the exec was promised upon being hired.
finance.yahoo.com/ne...hares-143909727.html
Why Insider Transactions Are Important?
While transactions from an insider shouldn't be used as the sole item to make an investment or trading decision, an insider buying or selling stock in their company can be a good added factor that leads to more conviction in a decision. Insiders buying stock after a notable sell off can indicate an insider's long-term belief in the success of the company; insiders buying stock at new highs can be an indication the exec doesn't feel the stock is overvalued. Insiders who sell stock at new lows could be anticipating some capitulation moment. If the insider sells at new highs, it could point to the intention to "take some profit" and "lock in a gain. "
Important Transaction Codes
Investors prefer focusing on transactions which take place in the open market, indicated in the Form 4 with codes P for purchase and S for sale. if the transaction was an open-market transaction, that means that the insider made a concious decision for the company's stock moving forward. Transaction codes other than P or S are often viewed with less conviction as they are often not tied to a decision by the exec. As an example, transaction code C indicates the conversion of an option. Transaction code A indicates the insider may have been forced to sell shares in order to receive compensation the exec was promised upon being hired.
finance.yahoo.com/ne...hares-143909727.html
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Implied Volatility Surging for Celldex Therapeutics (CLDX) Stock Options
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
What is the fundamental picture for the company?
-Celldex Therapeutics is a Zacks Rank #3 (Hold) in the Medical - Biomedical and Genetics industry that ranks in the Top 13% of our Zacks Industry Rank.
-Over the last 60 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward.
-The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 72 cents per share to a loss of 77 cents in that period.
Given the way analysts feel about Celldex Therapeutics right now, this huge implied volatility could mean there’s a trade developing.
Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
What is the fundamental picture for the company?
-Celldex Therapeutics is a Zacks Rank #3 (Hold) in the Medical - Biomedical and Genetics industry that ranks in the Top 13% of our Zacks Industry Rank.
-Over the last 60 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward.
-The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 72 cents per share to a loss of 77 cents in that period.
Given the way analysts feel about Celldex Therapeutics right now, this huge implied volatility could mean there’s a trade developing.
Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.