Quantchabot has detected a new Bull Call Spread trade opportunity for SABLE OFFSHORE CORP (SOC) for the 21-Feb-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
SOC was recently trading at $30.20 and has an implied volatility of 95.39% for this period. Based on an analysis of the options available for SOC expiring on 21-Feb-2025, there is a 34.43% likelihood that the underlying will close within the analyzed range of $30.24-$35.04 at expiration. In this scenario, the average linear return for the trade would be 17.19%.
Big 23.44% Change: After closing the last trading session at $24.47, SABLE OFFSHORE CORP opened today at $29.50 and has reached a high of $30.99.
Trade approach: A movement as big as 23.44% is a significantly bullish indicator, so this trade is designed to be profitable if SOC maintains its current direction and does not revert back to pricing on the bearish side of $30.20 on 21-Feb-2025. If possible, the trade has been padded such that slight movement against the trade would still return a profit.
Upside potential: Using this bullish strategy, the trade would be profitable if SABLE OFFSHORE CORP closes at or above $28.90 on 21-Feb-2025. Based on our risk-neutral analysis, there is a 62.20% 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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