Big Loser Alert: Trading today’s -7.5% move in BEYOND MEAT INC. COMMON STOCK $BYND

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Quantchabot has detected a promising Short Risk Reversal trade opportunity for BEYOND MEAT INC. COMMON STOCK (BYND) for the 25-Feb-2022 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

BYND was recently trading at $65.55 and has an implied volatility of 74.08% for this period. Based on an analysis of the options available for BYND expiring on 25-Feb-2022, there is a 34.14% likelihood that the underlying will close within the analyzed range of $50.94-$65.55 at expiration. In this scenario, the average linear return for the trade would be 55.04%.

Big -7.45% Change: After closing the last trading session at $70.83, BEYOND MEAT INC. COMMON STOCK opened today at $69.09 and has reached a low of $65.21.

Trade approach: A movement as big as -7.45% is a significantly bearish indicator, so this trade is designed to be profitable if BYND maintains its current direction and does not revert back to pricing on the bullish side of $65.55 on 25-Feb-2022. If possible, the trade has been padded such that slight movement against the trade would still return a profit.

Upside potential: Using this bearish strategy, the trade would be profitable if BEYOND MEAT INC. COMMON STOCK closes at or below $66.28 on 25-Feb-2022. Based on our risk-neutral analysis, there is a 51.74% likelihood of this return.

Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment.

To analyze this trade in depth, please visit the Quantcha Options Search Engine.