|Day Low/High||33.92 / 34.70|
|52 Wk Low/High||32.03 / 40.51|
Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100.
In trading on Thursday, shares of Cato Corp. crossed below their 200 day moving average of $37.11, changing hands as low as $35.35 per share.
Portfolio manager Steve Scruggs is bullish on Delta Apparel, UGI, Cato and Hilltop Holdings.
One portfolio manager is bullish on shares of The Cato Corporation despite this year's five percent stock decline.
We would look take advantage of near-term weakness if UA gets closer to $37.
Shareholders of Cato Corp. looking to boost their income beyond the stock's 3.3% annualized dividend yield can sell the October covered call at the $40 strike and collect the premium based on the $1.40 bid, which annualizes to an additional 7.4% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 10.8% annualized rate in the scenario where the stock is not called away.
A look at the weighted underlying holdings of the SPDR S&P Retail ETF (XRT) shows an impressive 19.7% of holdings on a weighted basis have experienced insider buying within the past six months. START SLIDESHOW:10 ETFs With Stocks That Insiders Are Buying » Cato Corp.
The most recent short interest data was recently released by the NASDAQ for the 10/30/2015 settlement date, and Cato Corp. is one of the most shorted stocks of the Russell 3000, based on 8.06 "days to cover" versus the median component at 5.62.
Shareholders of Cato Corp. looking to boost their income beyond the stock's 3.2% annualized dividend yield can sell the April 2016 covered call at the $40 strike and collect the premium based on the $1.45 bid, which annualizes to an additional 7.9% rate of return against the current stock price (at Stock Options Channel we call this the YieldBoost), for a total of 11.2% annualized rate in the scenario where the stock is not called away.
In this series, we look through the most recent Dividend Channel ''DividendRank'' report, and then we cherry pick only those companies that have experienced insider buying within the past six months. The officers and directors of a company tend to have a unique insider's view of the business, and presumably the only reason an insider would choose to take their hard-earned cash and use it to buy stock in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both.
Stocks with insider trader activity include CATO, RNG and ZEUS