StockTwits Trending Alert: Trading recent interest in EMERGENT BIOSOLUTIONS $EBS

Quantchabot has detected a promising Covered Put trade opportunity for EMERGENT BIOSOLUTIONS (EBS) for the 16-Jun-2023 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

EBS was recently trading at $11.83 and has an implied volatility of 69.05% for this period. Based on an analysis of the options available for EBS expiring on 16-Jun-2023, there is a 32.08% likelihood that the underlying will close within the analyzed range of $7.25-$11.83 at expiration. In this scenario, the average linear return for the trade would be 113.04%.

Trending on StockTwits: StockTwits® is a financial communications platform for the financial and investing community. On their site, EMERGENT BIOSOLUTIONS was recently trending, indicating that breaking news and/or market activity has significantly impacted sentiment toward the stock. This movement can be interpretted as a sign of more near-term price movement for the underlying.

Trade approach: The recent sentiment change in EBS on StockTwits appears to be significantly negative, indicating that the stock is likely to follow in that direction for investors trading on sentiment. As a result, a bearish strategy could prove effective if the sentiment ultimately turns out to drive trading.

Upside potential: Using this bearish strategy, the trade would be profitable if EMERGENT BIOSOLUTIONS closed at or below $17.63 on 16-Jun-2023. Based on our analysis, there is a 76.43% 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.