Gymboree (GYMB) NewsBite - Gymboree Jumps on Upgrade

Posted on Monday, July 14, 2008 10:31 AM

Gymboree Corp. (GYMB) opened at 36.39. So far today, the stock has hit a low of 35.50 and a high of 37.33. GYMB is now trading at 36.00, up 1.60 (4.40%). The stock hit its 52 week high of 47.69 in May and set its 52 week low of 25.99 in January. Fell during the second half of 2007, but has been stronger this year. Gymboree shares have been soaring in morning trading as a Wedbush Morgan Securities analyst upped the stock to "Strong buy" from "Buy", saying the company continues to outperform due to solid pricing, brand-appropriate designs and product quality. The broker believes GYMB will raise second quarter earnings per share guidance due to a solid second quarter. Technical indicators for the stock are bearish and steady. If you’re looking for a hedged play on this stock, consider an August bull-put credit spread below the $30 range. GYMB stock could fall up to 16.7% before expiration and this position would still be profitable. [RHF - Seven Summits Strategic Investments NewsBite]