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On October 10, 2023, new options for Boston Scientific Corp. (BSX) became available, with a notable put contract at the $96.00 strike price offering a bid of $1.80. Investors selling this put would agree to buy shares at $96.00, effectively reducing their cost to $94.20 after premium collection, compared to the current share price of $96.61.
The call contract at the $99.00 strike price has a current bid of $1.85. Selling this call contract as a covered call at the current price could yield a total return of 4.39% if the stock is called away by the expiration date. The odds of the put contract expiring worthless is estimated at 57%, while the call has a 53% chance of expiring worthless.
Implied volatilities are at 34% for the put and 35% for the call, with a trailing twelve-month volatility calculated at 23% based on the last 250 trading days.
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