Dollar Tree (DLTR) Offering Possible 38.5% Return Over the Next 21 Calendar Days

Dollar Tree's most recent trend suggests a bearish bias. One trading opportunity on Dollar Tree is a Bear Call Spread using a strike $87.50 short call and a strike $92.50 long call offers a potential 38.5% return on risk over the next 21 calendar days. Maximum profit would be generated if the Bear Call Spread were to expire worthless, which would occur if the stock were below $87.50 by expiration. The full premium credit of $1.39 would be kept by the premium seller. The risk of $3.61 would be incurred if the stock rose above the $92.50 long call strike price.

The 5-day moving average is moving down which suggests that the short-term momentum for Dollar Tree is bearish and the probability of a decline in share price is higher if the stock starts trending.

The 20-day moving average is moving down which suggests that the medium-term momentum for Dollar Tree is bearish.

The RSI indicator is at 23.08 level which suggests that the stock is neither overbought nor oversold at this time.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for Dollar Tree

Dollar Tree restarts share buyback program
Wed, 23 Sep 2020 20:33:00 +0000
Dollar Tree Inc. said late Wednesday it is resuming its share buyback program, which had been halted in March in response to pandemic-related restrictions and uncertainties. The company said in a filing it had $800 million remaining under its board's repurchase authorization. Shares will be purchased "from time to time at prevailing market prices, through open market or privately negotiated transactions, depending upon market conditions," the company said. Shares of Dollar Tree rose 0.6% in the extended session after ending the regular trading day down 0.1%.

CSFB Commercial Mortgage Trust 2005-C4 — Moody's downgrades one class of CSFB 2005-C4
Fri, 11 Sep 2020 21:05:04 +0000
Moody's rating action reflects a base expected loss of 71.3% of the current pooled balance, compared to 37.6% at Moody's last review. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating.

Where Will Dollar Tree Be in 5 Years?
Thu, 10 Sep 2020 14:15:00 +0000
Many retailers are reporting spikes in consumer spending this year related to COVID-19, and Dollar Tree (NASDAQ: DLTR) is no exception. Effects from the pandemic have renewed demand for inexpensive basic household items, even helping the struggling Family Dollar stores that Dollar Tree acquired in 2015. Dollar Tree had just shy of 15,500 stores as of Aug. 1 with new locations opened under the Dollar Tree banner bringing the split with Family Dollar stores close to 50/50.

GS Mortgage Securities Trust 2013-GCJ16 — Moody's affirms twelve and downgrades one class of GSMS 2013-GCJ16
Wed, 09 Sep 2020 16:49:04 +0000
The ratings on nine P&I classes were affirmed because the transaction's key metrics, including Moody's loan-to-value (LTV) ratio, Moody's stressed debt service coverage ratio (DSCR) and the transaction's Herfindahl Index (Herf), are within acceptable ranges. The rating on one P&I class, Cl. G, was downgraded due to a decline in pool performance, driven primarily by an increase in recent transfers to special servicing, now representing 21% of the pool.

Should You Buy Dollar Tree on a Dip?
Wed, 09 Sep 2020 11:25:00 +0000
Shares traded down after the recent earnings report, but the discount retailer has tailwinds at its back given the current economic uncertainty.

Related Posts

 

MarketTamer is not an investment advisor and is not registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory Authority. Further, owners, employees, agents or representatives of MarketTamer are not acting as investment advisors and might not be registered with the U.S. Securities and Exchange Commission or the Financial Industry Regulatory.


This company makes no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended in this email, and makes no representations or warranties concerning said company or entity’s compliance with applicable laws and regulations, including, but not limited to, regulations promulgated by the SEC or the CFTC. The sender of this email may receive a portion of the proceeds from the sale of any products or services offered by a company or entity mentioned or recommended in this email. The recipient of this email assumes responsibility for conducting its own due diligence on the aforementioned company or entity and assumes full responsibility, and releases the sender from liability, for any purchase or order made from any company or entity mentioned or recommended in this email.


The content on any of MarketTamer websites, products or communication is for educational purposes only. Nothing in its products, services, or communications shall be construed as a solicitation and/or recommendation to buy or sell a security. Trading stocks, options and other securities involves risk. The risk of loss in trading securities can be substantial. The risk involved with trading stocks, options and other securities is not suitable for all investors. Prior to buying or selling an option, an investor must evaluate his/her own personal financial situation and consider all relevant risk factors. See: Characteristics and Risks of Standardized Options. The www.MarketTamer.com educational training program and software services are provided to improve financial understanding.


The information presented in this site is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. Nothing in our research constitutes legal, accounting or tax advice or individually tailored investment advice. Our research is prepared for general circulation and has been prepared without regard to the individual financial circumstances and objectives of persons who receive or obtain access to it. Our research is based on sources that we believe to be reliable. However, we do not make any representation or warranty, expressed or implied, as to the accuracy of our research, the completeness, or correctness or make any guarantee or other promise as to any results that may be obtained from using our research. To the maximum extent permitted by law, neither we, any of our affiliates, nor any other person, shall have any liability whatsoever to any person for any loss or expense, whether direct, indirect, consequential, incidental or otherwise, arising from or relating in any way to any use of or reliance on our research or the information contained therein. Some discussions contain forward looking statements which are based on current expectations and differences can be expected. All of our research, including the estimates, opinions and information contained therein, reflects our judgment as of the publication or other dissemination date of the research and is subject to change without notice. Further, we expressly disclaim any responsibility to update such research. Investing involves substantial risk. Past performance is not a guarantee of future results, and a loss of original capital may occur. No one receiving or accessing our research should make any investment decision without first consulting his or her own personal financial advisor and conducting his or her own research and due diligence, including carefully reviewing any applicable prospectuses, press releases, reports and other public filings of the issuer of any securities being considered. None of the information presented should be construed as an offer to sell or buy any particular security. As always, use your best judgment when investing.