GPC Forecast + Trading Strategies


Bullish Case: GPC is trading 41.9% higher than 5 years ago, strong fundamentals, consistent dividend growth, and high call volume indicate potential for upside.


Bearish Case: GPC has a -14.5% decline over the past 90 days, weak macro-economic conditions, and flat volatility term structure highlight potential downside.


Potential Outcomes: 50% growth recovery due to strategic actions; 30% further corrections from economic risks; 20% stability reflecting mean-reverting nature.


Trading Oracle: Execute a bullish credit spread: Sell 1 $125.0 strike put, buy 1 $120.0 strike put expiring in 25 days. This strategy leverages high implied volatility with a positive risk-return profile, aligning with the 31% more bullish risk.


July 23, 2024


Genuine Parts Forecast

GPC      Genuine Parts











Correlated Assets

Assets that tend to move strongly with GPC



XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.53)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.27)


LI Forecast + Options Trading Strategies   LI  Li Auto (0.14)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.05)



Uncorrelated Assets

Assets with little price relationship to GPC



VFC Forecast + Options Trading Strategies   VFC  VF (-0.05)


LI Forecast + Options Trading Strategies   LI  Li Auto (0.14)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.27)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.53)



Anticorrelated Assets

Assets that tend to move strongly against GPC



XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.53)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.27)


LI Forecast + Options Trading Strategies   LI  Li Auto (0.14)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.05)





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