For more put and call options contract ideas worth looking at, visit. Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $28.04) to be 31%. The implied volatility in the put contract example is 33%, while the implied volatility in the call contract example is 34%. Should the covered call contract expire worthless, the premium would represent a 8.88% boost of extra return to the investor, or 13.56% annualized, which we refer to as the YieldBoost.Ĭlick here to find out the Top YieldBoost Calls of the Nasdaq 100 » On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 51%. To an investor already interested in purchasing shares of NVDA, that could represent an attractive alternative to paying $28.04/share today.Ĭonsidering the fact that the $29.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected.
If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $27.00, but will also collect the premium, putting the cost basis of the shares at $24.48 (before broker commissions). The put contract at the $27.00 strike price has a current bid of $2.52.
At Stock Options Channel, our YieldBoost formula has looked up and down the NVDA options chain for the new June 2016 contracts and identified one put and one call contract of particular interest. One of the key data points that goes into the price an option buyer is willing to pay, is the time value, so with 239 days until expiration the newly trading contracts represent a possible opportunity for sellers of puts or calls to achieve a higher premium than would be available for the contracts with a closer expiration. Investors in NVIDIA Corp ( NASD: NVDA) saw new options begin trading this week, for the June 2016 expiration.
0 kommentar(er)
