EXPE is currently demonstrating a bull flag chart pattern
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Travel agency Expedia Group (NASDAQ: EXPE) was an outperformer for six months, year to date and year over year. In fact, there was a consolidation of around 200% compared to the previous year. Expedia exceeded $ 20 billion in market cap for the first time this year.
The stock also has a bull flag pattern as its 40-day movement is rising and not retreating until April 20th. The 80-day trendline has been a significant source of support in the past as well, with both moving averages leading EXPE to its final round of new record highs, just under $ 190. Historically, the travel giant is an outperformer between April and October. Data from the past 12 years shows an average growth of 20.4% with a win rate of 89%.
When digging deeper, there seems to be a lot of room for improvement in the option pits. This corresponds to the share’s 50-day put / call volume ratio on the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which is in the 86th percentile of their annual range. Should those bearish bets settle, it could catapult equity into another round of all-time highs.
Meanwhile, short interest has increased nearly 10% over the last two reporting periods. The nearly 14 million shares sold account for 10.2% of the stock’s total available free float, or just over four days of pent-up purchasing power. In addition, a new round of upgrades is overdue as 12 of the 22 analysts make a lukewarm “hold” recommendation in their reporting to be on the safe side.