PATK Forecast


Bullish Case: With robust revenue growth, positive earnings adjustments, and substantial call options trading volume, PATK's upward momentum can sustain. Analysts' upgrades and the company's competitive edge add to the bullish outlook.


Bearish Case: Concerns over recent insider selling, mean-reverting price behavior, and high valuation with a P/B ratio of 1.9 suggest potential for a downward correction. Elevated implied volatility indicates market uncertainty.


Potential Outcomes:

1) Sustained growth to $130 (50%).

2) Pullback to $100 support level (30%).

3) Earnings miss causing selloff to $90 (20%). Estimates based on historical trading patterns and current market sentiment.


Trading Oracle: Sell near-term ATM put spreads around the $110 strike expiring in 1-2 months. This leverages higher short-term IV and potential downside support within the mean-reverting environment. Focus on Helium’s higher IV compared to the market for advantageous premium collection.


July 18, 2024


Patrick Industries Forecast

PATK      Patrick Industries











Correlated Assets

Assets that tend to move strongly with PATK



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.83)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.38)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.53)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.59)



Uncorrelated Assets

Assets with little price relationship to PATK



XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.38)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.53)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.59)


ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.83)



Anticorrelated Assets

Assets that tend to move strongly against PATK



ETRN Forecast + Options Trading Strategies   ETRN  Equitrans Midstream (0.83)


XLE Forecast + Options Trading Strategies   XLE  Energy Select Sector SPDR (0.38)


LI Forecast + Options Trading Strategies   LI  Li Auto (-0.53)


VFC Forecast + Options Trading Strategies   VFC  VF (-0.59)





Become a more profitable investor with AI optimized trading strategies






×

Chat with PATK


 Ask any question about PATK!