Big Loser Alert: Trading today’s -34.4% move in INDIVIOR PLC $INDV

Quantchabot has detected a new Covered Put trade opportunity for INDIVIOR PLC (INDV) for the 19-Jul-2024 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.

INDV was recently trading at $10.06 and has an implied volatility of 171.19% for this period. Based on an analysis of the options available for INDV expiring on 19-Jul-2024, there is a 34.33% likelihood that the underlying will close within the analyzed range of $7.51-$10.08 at expiration. In this scenario, the average linear return for the trade would be 22.20%.

Big -34.42% Change: After closing the last trading session at $15.34, INDIVIOR PLC opened today at $9.24 and has reached a low of $9.14.

Trade approach: A movement as big as -34.42% is a significantly bearish indicator, so this trade is designed to be profitable if INDV maintains its current direction and does not revert back to pricing on the bullish side of $10.06 on 19-Jul-2024. 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 INDIVIOR PLC closes at or below $10.08 on 19-Jul-2024. Based on our risk-neutral analysis, there is a 50.05% 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.


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