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Hawk’s Nest

Bull Risk Reversals Open in Quick-Service Play with Expectations Reset

by | Jun 6, 2022

Domino Pizza (DPZ) over 700 September $400 calls being bought $15.25 to $15.80 and selling the $300 puts for $6.65 to $6.20 in bull risk reversals. DPZ shares recently made a low retesting near a major early 2020 range breakout. The $13.45B long-time consistent performer now trades 24.3X Earnings and 38.3X FCF with its multiple contracting lately on higher costs and tougher post-pandemic comps. DPZ is close to a weekly MACD bull cross to put it back in buy-mode