Washington Mutual (WM) NewsBite - WM Bond Ratings Slashed

Posted on Wednesday, May 21, 2008 12:34 PM

Washington Mutual Inc. (WM) opened at 9.78. So far today, the stock has hit a low of 9.46 and a high of 9.89. WM is now trading at 9.57, down 0.26 (-2.66%). The stock hit its 52 week high of 44.66 in May and set its 52 week low of 8.72 in March. WM has been falling for the past year. Shares of Washington Mutual have been slipping after Moody's downgraded the company's Covered Bond ratings to A2 on review. Technical indicators for the stock are neutral and improving while S&P gives WM a neutral 3 STARS (out of 5) hold rating. If you’re looking for a hedged play on this stock, consider an October bear-call credit spread above the $14 range. WM stock could rise up to 46.3% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]