Walmart Inc (NYSE:WMT) stock is trading lower after the retailer announced it will stop selling firearms and ammunition to persons under the age of 21. This comes just one day after a similar move from Dick's Sporting Goods (DKS), which ended the sale of its assault-style rifles and high-capacity magazines. WMT shares were last seen down 1.1% at $89.03.
The equity scored a record high of $109.98 on Jan. 29, but has since pulled back to the 160-day moving average. As of last night's close, Walmart stock had a 14-Day Relative Strength Index (RSI) of 30, on the cusp of oversold territory, suggesting a short-term bounce may be in the cards. Overall, the Dow component remains up 26.5% over the past year.
Furthermore, Walmart stock has rewarded premium buyers over the past year. The stock's Schaeffer's Volatility Scorecard (SVS) stands at a lofty 96 out of 100, indicating the shares have handily exceeded options traders' volatility expectations in the past 12 months.
Options traders lately have taken a call-skewed approach. This is based on the security's 10-day call/put volume ratio of 2.15 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which tops 70% of ratings over the past year.