Market-maker daily price range forecasts
A SA "news" item reader reflects on upcoming earnings reports by two major defense industry companies, Lockheed-Martin (LMT) and Raytheon (RTN).
Anticipating such reports -- and much more -- well-informed Market-Making [MM] professionals helping investment organization clients adjust billion-dollar portfolios in these stocks reveal their coming price limit expectations.
To protect firm capital temporarily and necessarily put at risk, they engineer hedging deals in leveraged derivative securities. Prices paid and deal structures created tell their implied forecasts. Here is how they see the Risk~Reward tradeoffs for State Street Bank (STT) and for PNC Financial (PNC) and several other "Money Center Bank" stocks:
