We dedicated yesterday’s premarket newsletters to our Special Report, so we wanted to circle back this morning to go over a couple of options ideas we submitted to our readers on Tuesday morning.
We had identified plays in the ULTA and MKC options chains following a Form-4 Alert and an earnings report, respectively, and in both cases we met with fantastic multi-bag gain opportunities. Here were the total possible profits on the table:
We also want to place ARA on watch as a possible bottom bounce play. The stock has never been much lower than where it’s currently trading, has a recently history of sharp spikes, and indications that a significant rebound could be on the way. We’ll keep an eye peeled for such activity over the next several sessions.
We have a trio of fresh options ideas for today’s report- a couple of earnings plays, and a Form-4 alert.
Ulta Beauty, Inc. ULTA – We saw a Form-4 pop up on ULTA last week, as the stock was beginning to find its way up off a bottom. There is an absolutely massive topside gap on the chart, so we’re looking at this as a longer-term idea.
We’re set to track the ULTA 11/01 $260-265 Calls over the next few weeks, which would play very well if the stock can even begin to fill that gap.
McCormick & Co. Inc. MKC - First up for our pair of earnings plays, we’ve got MKC, which posted a Q3 profit beat as well as heightened guidance. We’re going to tag the MKC Weekly $155-160 Calls for observation this morning.
Stitch Fix, Inc. SFIX - Lastly, we’ve got SFIX earns coming up in the post-market this afternoon, and the stock is at a really good spot on the chart. We’re going to radar the SFIX Weekly $19.50-20 Calls.
We will be initiating coverage on a brand new high-potential nanotech play tomorrow morning!
Stay glued to those inboxes or visit BlueHorseshoeStocks.com shortly after 9AM tomorrow morning for our Special Report!
Yesterday was a day for options, with a whole calendar full of earnings reports, and we formulated a couple of fresh ideas in LUV and MKC, going bullish and bearish, respectively. Both sets of contracts produced really good opportunities for intraday gains.
Southwest Airlines Co. LUV Weekly $52-54 Calls
$52 Calls – Range: 1.25-2.63 – Max Gain: 110% $52.50 Calls – Range: .99-1.90 – Max Gain: 92% $53 Calls – Range: .56-1.85 – Max Gain: 230% $53.50 Calls – Range: .40-1.25 – Max Gain: 213% $54 Calls – Range: .20-1.00 – Max Gain: 400%
McCormick & Co. Inc.
MKC 02/15 $125 & $120 Puts
$125 Puts – Range: 3.11-5.51 – Max Gain: 77% $120 Puts – Range: 1.51-1.91 – Max Gain: 26% _____
*Please do not attempt to trade weekly options on a Friday unless you an advanced level trader with disposable funds.
Briggs & Stratton Corp. BGG
We want to close things out this week by commenting on Briggs & Stratton’s gap down to its lowest PPS since the the early 1990′s. While it may see more short term losses first, we still want to radar this as a bottom-watch play.
We introduced three earnings related options ideas in yesterday morning’s premarket report, each with a range of contracts in their respective chains that we found enticing.
We got fantastic results from the vast majority of the contracts we were tracking. Two of the three ideas yielded several opportunities for multi-bag intraday gains.
International Business Machines Corp. IBM Weekly $130-134 Calls
$130 Calls – Range: 1.74-5.30 – Max Gain: 205% $131 Calls – Range: 1.50-4.30 – Max Gain: 187% $132 Calls – Range: .43-3.75 – Max Gain: 772% $133 Calls – Range: .58-3.10 – Max Gain: 434% $134 Calls – Range: .38-2.45 – Max Gain: 545%
The Procter & Gamble Co. PG Weekly $93-95.50 Calls
$93 Calls – Range: 1.35-3.33 – Max Gain: 261% $93.50 Calls – Range: 1.22-2.8 – Max Gain: 530% $94 Calls – Range: .90-2.62 – Max Gain: 382% $95 Calls – Range: .48-1.77 – Max Gain: 506%
Logitech International, Inc. LOGI
We also published a longer term options idea in our report on Tuesday morning, signaling the LOGI 02/15 $34 & $35 Calls for observation, and we’ve got an update on those plays as well, which have also turned into multi-bag runners this midweek.
The $34 Calls have thus far traded up from a low of .85 to a high of 2.40 for a gain of 182%, while the $35′s have gone from .55 to 1.65- an increase of 200% With three weeks remaining until expiration we can continue to keep an eye on these for the possibility of higher highs.