Investors in GitLab Inc. (NASDAQ: GTLB) can now explore new options set to expire on April 24. Key contracts include a put option at a $25.00 strike price, currently bid at $0.15, allowing investors to potentially purchase shares at an effective cost of $24.85. This represents a roughly 3% discount on the current trading price of $25.86, with a 59% chance of the contract expiring worthless, yielding a 0.60% return on the cash commitment, or an annualized 4.38%.
Additionally, a call option at a $26.00 strike price is available with a current bid of $0.55. If executed, this covered call could result in a total return of 2.67% if GTLB shares are called away, given the 47% chance of the contract expiring worthless, allowing investors to keep both shares and premium collected. Implied volatility stands at 65% for the put and 69% for the call, while trailing twelve-month volatility is calculated at 58%.
