New Trading Options Unveiled for Bank of Hawaii Corp: A Financial Opportunity Awaits

February 2025 Options Offer Potential Returns with Managed Risk

Investors in Bank of Hawaii Corp (Symbol: BOH) have a fresh opportunity as new options commenced trading today, specifically for the February 2025 expiration. Our YieldBoost formula at Stock Options Channel has scoured the BOH options chain and spotlighted an intriguing call contract.

Currently, the $70.00 strike price call contract is bid at $2.85. If an investor buys shares of BOH at the current price of $69.23 per share and sells that call contract as a “covered call,” they agree to sell the stock at $70.00. By collecting the premium, the investor can anticipate a total return of 5.23%, provided the stock is called away at the February 2025 expiration (excluding any dividends and before broker commissions). It’s essential to note that if BOH shares rise significantly, there could be substantial gains missed, which is why reviewing the company’s recent trading history and fundamentals is advisable. Below is a chart reflecting BOH’s trailing twelve-month trading record, with the $70.00 strike price highlighted in red:

The $70.00 strike price represents about a 1% premium above the current trading price, indicating it is slightly out-of-the-money. There is a chance that the covered call might expire worthless, allowing the investor to retain both the shares and the premium. Current analytics estimate a 45% probability of this scenario. For ongoing tracking of these odds, Stock Options Channel will document changes over time and present relevant charts, including trading history for this option contract. Should the contract expire worthless, the premium would equate to an additional 4.12% return for the investor, which annualizes to 23.48%, what we term the YieldBoost.

The implied volatility for the aforementioned call contract stands at 40%. In contrast, the actual trailing twelve-month volatility, based on the last 251 trading day closing values along with today’s price of $69.23, is calculated to be 31%. For additional insights into worthwhile put and call options, please visit StockOptionsChannel.com.

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The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.