NEW DIRECTIONAL CALL PLAYS
Ventas, Inc. - VTR - close: 65.73 change: +1.38
Stop Loss: 64.75
Target(s): to be determined
Current Option Gain/Loss: Unopened
Time Frame: 3 to 4 weeks
New Positions: Yes, see below
Why We Like It:
VTR is in the financial sector. The company is a REIT focused on the healthcare industry.
The company reported earnings last week that beat Wall Street's estimates on both the top and bottom line. Management reaffirmed their 2014 guidance. Investors could be viewing the healthcare REITs as a safe haven trade in a volatile market. VTR's stock also offers a 4.5% dividend yield compared to a 10-year U.S. treasury yielding less than 2.7%.
Technically VTR appears to have formed an inverse head-and-shoulders pattern with a slanted neckline on the weekly chart. The stock has also found recent support near $64.00. We're suggesting investors wait for a move above the April high ($66.30). The newsletter's suggested entry point is $66.35 with a stop at $64.75.
Trigger @ 66.35
- Suggested Positions -
Buy the Aug $65 call (VTR1416H65) current ask $2.50
Entry on April -- at $---.--
Average Daily Volume = 1.6 million
Listed on April 28, 2014