Seeking Alpha
Value, growth, long-term horizon, medium-term horizon
Profile| Send Message|
( followers)  

The following is a list of underperforming stocks that options traders expect to rebound over the coming weeks. To create this list, we started with the following screen:

  • Market cap > $300M
  • Down over the last year
  • Price below SMA20, SMA50 and SMA200

That screen resulted in a universe of about 140 stocks. We then checked the call and put open interest for each of these stocks, and sorted the list by the Put/Call ratios.

All of the stocks mentioned here have the lowest Put/Call ratios, i.e. the largest number of open call option contracts relative to put option contracts (bullish options market sentiment).

Options traders seem to think there's a possibility of a rebound in some of these names. What do you think?

We last wrote about this screen on October 19, 2010. On that day, the screen produced 20 companies. Since then, 13 out of 20 companies mentioned in that article have outperformed the S&P 500 index (a success rate of 65.00%). The screen averaged a return of 11.01% vs. an index return of 6.4%. Click here to access a full breakdown of the screen's past performance.

Moving average data sourced from Finviz, options data sourced from Schaeffer's.

Interactive Chart: Press Play to visualize changes in market cap and analyst ratings for the top five stocks mentioned below. Analyst ratings sourced from Zacks. Note: The numbers on top of items represent the forward P/E ratio.


The list has been sorted by the Put/Call ratio.

1. Cell Therapeutics, Inc. (NASDAQ:CTIC): Biotechnology Industry. Market cap of $301.47M. The stock is currently -2.5% below its 20-day MA, -4.54% below its 50-day MA, and -21.43% below its 200-day MA. Call open interest at 58,197 contracts vs. put open interest at 8,649 contracts (Put/Call ratio at 0.15). Short float at 7.48%, which implies a short ratio of 19.49 days. The stock has lost -66.67% over the last year.

2. Sterling Financial Corporation (STSAD): Savings & Loans Industry. Market cap of $1.04B. The stock is currently -5.23% below its 20-day MA, -59.74% below its 50-day MA, and -73.23% below its 200-day MA. Call open interest at 880 contracts vs. put open interest at 131 contracts (Put/Call ratio at 0.15). Short float at 0.57%, which implies a short ratio of 9.43 days. The stock has lost -73.7% over the last year.

3. Tekelec (NASDAQ:TKLC): Processing Systems & Products Industry. Market cap of $775.75M. The stock is currently -8.09% below its 20-day MA, -11.96% below its 50-day MA, and -20.98% below its 200-day MA. Call open interest at 2,860 contracts vs. put open interest at 456 contracts (Put/Call ratio at 0.16). Short float at 4.4%, which implies a short ratio of 4.51 days. The stock has lost -24.65% over the last year.

4. Brocade Communications Systems, Inc. (NASDAQ:BRCD): Data Storage Devices Industry. Market cap of $2.43B. The stock is currently -.17% below its 20-day MA, -5.94% below its 50-day MA, and -5.02% below its 200-day MA. Call open interest at 397,188 contracts vs. put open interest at 74,808 contracts (Put/Call ratio at 0.19). Short float at 4.4%, which implies a short ratio of 1.11 days. The stock has lost -29.05% over the last year.

5. Rite Aid Corp. (NYSE:RAD):
Drug Stores Industry. Market cap of $817.07M. The stock is currently -1.16% below its 20-day MA, -1.41% below its 50-day MA, and -17.5% below its 200-day MA. Call open interest at 7,655 contracts vs. put open interest at 1,474 contracts (Put/Call ratio at 0.19). Short float at 3.62%, which implies a short ratio of 5.62 days. The stock has lost -28.94% over the last year.

6. Gafisa S.A. (NYSE:GFA): Residential Construction Industry. Market cap of $2.32B. The stock is currently -4.55% below its 20-day MA, -12.91% below its 50-day MA, and -3.14% below its 200-day MA. Call open interest at 6,067 contracts vs. put open interest at 1,380 contracts (Put/Call ratio at 0.23). Short float at 5.79%, which implies a short ratio of 4.01 days. The stock has lost -15.59% over the last year.

7. Corporate Office Properties Trust (NYSE:OFC): REIT. Market cap of $1.99B. The stock is currently -2.19% below its 20-day MA, -6.75% below its 50-day MA, and -10.83% below its 200-day MA. Call open interest at 1,066 contracts vs. put open interest at 306 contracts (Put/Call ratio at 0.29). Short float at 6.53%, which implies a short ratio of 4.88 days. The stock has lost -5.82% over the last year.

8. Supertex Inc. (NASDAQ:SUPX): Semiconductor Industry. Market cap of $305.68M. The stock is currently -6.09% below its 20-day MA, -2.59% below its 50-day MA, and -7.2% below its 200-day MA. Call open interest at 430 contracts vs. put open interest at 124 contracts (Put/Call ratio at 0.29). Short float at 3.87%, which implies a short ratio of 7.53 days. The stock has lost -18.03% over the last year.

9. TiVo Inc. (NASDAQ:TIVO):
CATV Systems Industry. Market cap of $950.53M. The stock is currently -5.63% below its 20-day MA, -15.99% below its 50-day MA, and -25.89% below its 200-day MA. Call open interest at 146,219 contracts vs. put open interest at 42,781 contracts (Put/Call ratio at 0.29). Short float at 12.91%, which implies a short ratio of 5.13 days. The stock has lost -16.55% over the last year.

10. Highwoods Properties Inc. (NYSE:HIW): REIT. Market cap of $2.12B. The stock is currently -3.72% below its 20-day MA, -8.32% below its 50-day MA, and -3.38% below its 200-day MA. Call open interest at 701 contracts vs. put open interest at 230 contracts (Put/Call ratio at 0.33). Short float at 8.16%, which implies a short ratio of 7.29 days. The stock has lost -6.66% over the last year.

11. Allos Therapeutics, Inc. (NASDAQ:ALTH): Drug Manufacturer. Market cap of $402.44M. The stock is currently -8.52% below its 20-day MA, -10.04% below its 50-day MA, and -33.73% below its 200-day MA. Call open interest at 11,158 contracts vs. put open interest at 3,713 contracts (Put/Call ratio at 0.33). Short float at 11.94%, which implies a short ratio of 9.97 days. The stock has lost -36.33% over the last year.

12. E-House Holdings Limited (NYSE:EJ): Property Management Industry. Market cap of $1.1B. The stock is currently -3.46% below its 20-day MA, -16.1% below its 50-day MA, and -17.68% below its 200-day MA. Call open interest at 4,572 contracts vs. put open interest at 1,590 contracts (Put/Call ratio at 0.35). Short float at 4.08%, which implies a short ratio of 6.1 days. The stock has lost -32.93% over the last year.

13. Rambus Inc. (NASDAQ:RMBS): Semiconductor Industry. Market cap of $2.23B. The stock is currently -1.83% below its 20-day MA, -.89% below its 50-day MA, and -3.35% below its 200-day MA. Call open interest at 111,317 contracts vs. put open interest at 39,054 contracts (Put/Call ratio at 0.35). Short float at 6.13%, which implies a short ratio of 6.29 days. The stock has lost -7.43% over the last year.

14. Geron Corporation (NASDAQ:GERN): Drug Manufacturer. Market cap of $573.5M. The stock is currently -14.08% below its 20-day MA, -15.37% below its 50-day MA, and -12.11% below its 200-day MA. Call open interest at 42,222 contracts vs. put open interest at 15,629 contracts (Put/Call ratio at 0.37). Short float at 12.98%, which implies a short ratio of 8.46 days. The stock has lost -17.87% over the last year.

15. Revlon, Inc. (NYSE:REV): Personal Products Industry. Market cap of $522.84M. The stock is currently -1.43% below its 20-day MA, -13.93% below its 50-day MA, and -23.71% below its 200-day MA. Call open interest at 1,192 contracts vs. put open interest at 446 contracts (Put/Call ratio at 0.37). Short float at 3.71%, which implies a short ratio of 3.7 days. The stock has lost -49.21% over the last year.

16. Changyou.com Limited (NASDAQ:CYOU): Multimedia & Graphics Software Industry. Market cap of $1.44B. The stock is currently -7.64% below its 20-day MA, -10.05% below its 50-day MA, and -5.73% below its 200-day MA. Call open interest at 3,903 contracts vs. put open interest at 1,593 contracts (Put/Call ratio at 0.41). Short float at 6.59%, which implies a short ratio of 2.87 days. The stock has lost -11.53% over the last year.

17. Safeway Inc. (NYSE:SWY): Grocery Stores Industry. Market cap of $7.8B. The stock is currently -6.23% below its 20-day MA, -6.09% below its 50-day MA, and -5.1% below its 200-day MA. Call open interest at 46,936 contracts vs. put open interest at 19,232 contracts (Put/Call ratio at 0.41). Short float at 7.18%, which implies a short ratio of 5.35 days. The stock has lost -1.41% over the last year.

18. Banco Bilbao Vizcaya Argentaria, S.A. (NYSE:BBVA): Foreign Regional Bank. Market cap of $39.77B. The stock is currently -.98% below its 20-day MA, -12.58% below its 50-day MA, and -13.98% below its 200-day MA. Call open interest at 40,178 contracts vs. put open interest at 17,493 contracts (Put/Call ratio at 0.44). Short float at 0.17%, which implies a short ratio of 2.41 days. The stock has lost -38.95% over the last year.

19. Liberty Property Trust (LRY): REIT. Market cap of $3.46B. The stock is currently -2.83% below its 20-day MA, -6.78% below its 50-day MA, and -3.23% below its 200-day MA. Call open interest at 2,192 contracts vs. put open interest at 971 contracts (Put/Call ratio at 0.44). Short float at 2.37%, which implies a short ratio of 3.23 days. The stock has lost -0.3% over the last year.

20. RadioShack Corp. (NYSE:RSH): Electronics Stores Industry. Market cap of $2.12B. The stock is currently -1.58% below its 20-day MA, -7.42% below its 50-day MA, and -9.69% below its 200-day MA. Call open interest at 33,108 contracts vs. put open interest at 14,995 contracts (Put/Call ratio at 0.45). Short float at 10.86%, which implies a short ratio of 3.63 days. The stock has lost -6.76% over the last year.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

Source: 20 Beaten Up Stocks With Bullish Options Sentiment