Investors in Shopify Inc. (NASDAQ: SHOP) were presented with new options today for the August 21 expiration, with key figures indicating potential opportunities for premium collection. A put contract at the $100.00 strike price has a bid of $9.50, allowing investors to effectively purchase shares at a cost basis of $90.50, a 4% discount from the current share price of $104.16. Current analytical data suggests a 62% chance of this put contract expiring worthless.
On the call side, there is a contract at the $105.00 strike price, bid at $11.40. If investors buy shares at $104.16 and sell this covered call, they can achieve an 11.75% total return if the stock gets called away at expiration. The prospects indicate a 44% likelihood of the contract expiring worthless, allowing investors to retain both their shares and the premium collected. The implied volatility stands at 65% for the put and 61% for the call.
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