New Options Analysis for Moderna Inc: Key Contracts Unveiled

Investors in Moderna Inc (Symbol: MRNA) gained access to new options today, expiring on June 27th. The YieldBoost formula from Stock Options Channel provides insights from the MRNA options chain, highlighting notable put and call contracts.

Key Put Contract Details

The put contract at the $24.00 strike price currently has a bid of $2.13. Selling to open this put contract commits an investor to purchase shares at $24.00 while collecting the premium. This reduces the effective cost basis to $21.87 (excluding broker commissions), offering a compelling alternative to the current trading price of $24.37 per share.

This $24.00 strike represents approximately a 2% discount from the current trading price, classifying it as out-of-the-money by that percentage. There exists a chance that the put contract could expire worthless, with current analytical data suggesting a 59% probability of this outcome. Stock Options Channel will monitor these odds over time, providing updates on their website under the contract detail page. Should this contract expire worthless, the collected premium would yield an 8.88% return on cash commitment, annualized at 64.79%. This yield is designated as YieldBoost.

Trading History Visualization

Below is a chart displaying the trailing twelve-month trading history for Moderna Inc, with the $24.00 strike highlighted in green:

Call Contract Insights

Shifting to the call side, the $25.00 strike price has a current bid of $2.30. Investors considering purchasing shares at $24.37/share can sell-to-open this call contract as a covered call. This commitment to sell the stock at $25.00, combined with the premium collected, would provide a total return of 12.02% if the stock is called away by the June 27th expiration (excluding dividends and broker commissions).

However, substantial upside may remain if MRNA shares experience significant gains. Thus, analyzing the trailing twelve-month trading history and assessing the company’s fundamentals is essential. Below is a chart showing MRNA’s trading history, with the $25.00 strike marked in red:

The $25.00 strike represents approximately a 3% premium to the current trading price, rendering it out-of-the-money by that percentage. This introduces the possibility that the covered call could expire worthless, allowing the investor to retain both their shares and the premium. Analytical data indicates a 47% chance of this occurring. Stock Options Channel will continuously track these statistics, presenting results on their contract detail pages. If the covered call contract expires worthless, the premium would represent a 9.44% increase in investor return or an annualized 68.90%, also referred to as YieldBoost.

Volatility Insights

The implied volatility for both the put and call contracts stands at approximately 72%. In contrast, the actual fifteen-month volatility, factoring in the last 250 trading days and today’s price of $24.37, is calculated to be 70%. For additional put and call options ideas, consider visiting StockOptionsChannel.com.

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