Quantchabot has detected a new Bear Call Spread trade opportunity for ACADEMY SPORTS AND OUTDOORS INC. (ASO) for the 14-Mar-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
ASO was recently trading at $46.73 and has an implied volatility of 65.45% for this period. Based on an analysis of the options available for ASO expiring on 14-Mar-2025, there is a 34.73% likelihood that the underlying will close within the analyzed range of $43.82-$46.75 at expiration. In this scenario, the average linear return for the trade would be 71.02%.
Big -7.58% Change: After closing the last trading session at $50.56, ACADEMY SPORTS AND OUTDOORS INC. opened today at $50.22 and has reached a low of $46.64.
Trade approach: A movement as big as -7.58% is a significantly bearish indicator, so this trade is designed to be profitable if ASO maintains its current direction and does not revert back to pricing on the bullish side of $46.73 on 14-Mar-2025. 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 ACADEMY SPORTS AND OUTDOORS INC. closes at or below $46.80 on 14-Mar-2025. Based on our risk-neutral analysis, there is a 50.68% 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.
Leave a Reply
You must be logged in to post a comment.