Exploring New Terrains: May 31st Options Now Available for Dow Inc
Investors eyeing Dow Inc (Symbol: DOW) found themselves at a crossroads today as new options emerged, ripe for exploration. Stock Options Channel delved into the depths of the DOW options chain, unearthing a put and call contract destined for the spotlight.
Put Contracts: Seizing Opportunities Amidst Uncertainty
A put contract at the $57.00 strike beckoned with a siren song, flaunting a $1.32 current bid. By embracing this contract, investors delve into the realm of risk and reward, with a chance to secure the stock at $57.00 while reaping the premium. This move hints at a nuanced dance of strategy, potentially reducing the cost basis to $55.68 – a tantalizing prospect compared to the current $58.33/share.
A Tale of Odds: The Unpredictable Landscape of Options
The $57.00 strike reveals itself as an enigmatic 2% discount to the prevailing stock price, dangling the possibility of the put contract vanishing into thin air. Albeit, analytical data whispers of a 62% likelihood of this occurrence. Meanwhile, Stock Options Channel charts the ever-shifting odds, tantalizing investors with the allure of a 2.32% return or a 16.91% annualized YieldBoost.
Charting a Course: Navigating the Labyrinth of Call Contracts
Turning towards the call arena, the $60.00 strike emerges as a beacon of hope, boasting a $1.17 bid. Should investors embrace this call contract as a “covered call” post acquiring shares at $58.33/share, a voyage awaits where selling at $60.00 beckons. This journey promises a 4.87% return (sans dividends) if the stock transcends boundaries by the May 31st deadline. Yet, caution reigns as a captivating chart of Dow Inc’s history urges deliberation.
Embracing Volatility: A Dance with Risk and Reward
As the $60.00 strike languishes at a 3% premium to the current stock price, a fickle fate hangs overhead. The covered call contract’s worth teeters in the balance, with a 61% probability of fading into obscurity. Stock Options Channel plays the role of a vigilant sentinel, monitoring and sketching out the path of these odds while offering a 2.01% bonus in return or a 14.64% annualized YieldBoost.
The put contract whispers tales of an implied volatility of 24%, while the call contract hums a softer tune at 23%. In the realm of reality, trailing twelve-month volatility waltzes to a different beat, standing at a firm 21%. For a treasure trove of put and call options, the journey continues at StockOptionsChannel.com.
Top YieldBoost Calls of the Dow »
Additional Insights:
ONB Split History
DGLY Price Target
Institutional Holders of IO
The author’s perspective does not necessarily align with those of Nasdaq, Inc.
