Buyer
Buyers in Flexion Therapeutics, Inc. FLXN must pay shut consideration to the inventory primarily based on strikes within the choices market these days. That’s as a result of the Jan 17, 2020 $22.50 Name had a few of the highest implied volatility of all fairness choices in the present day.
What’s Implied Volatility?
Implied volatility exhibits how a lot motion the market is anticipating sooner or later. Choices with excessive ranges of implied volatility counsel that traders within the underlying shares predict an enormous transfer in a single path or the opposite. It may additionally imply there’s an occasion arising quickly that will trigger an enormous rally or an enormous sell-off. Nonetheless, implied volatility is just one piece of the puzzle when placing collectively an choices buying and selling technique.
What do the Analysts Suppose?
Clearly, choices merchants are pricing in an enormous transfer for Flexion shares, however what’s the elementary image for the corporate? At present, Flexion is a Zacks Rank #3 (Maintain) within the Medical – Medicine business that ranks within the Prime 24% of our Zacks Business Rank. During the last 30 days, the Zacks Consensus Estimate for the present quarter has moved from a lack of $1.01 per share to a lack of 98 cents.
Given the way in which analysts really feel about Flexion proper now, this big implied…