Quantchabot has detected a new Bear Call Spread trade opportunity for IMMUNOVANT INC (IMVT) for the 16-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
IMVT was recently trading at $15.73 and has an implied volatility of 53.43% for this period. Based on an analysis of the options available for IMVT expiring on 16-May-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $13.10-$15.82 at expiration. In this scenario, the average linear return for the trade would be 16.46%.
Big -7.96% Change: After closing the last trading session at $17.09, IMMUNOVANT INC opened today at $17.06 and has reached a low of $15.73.
Trade approach: A movement as big as -7.96% is a significantly bearish indicator, so this trade is designed to be profitable if IMVT maintains its current direction and does not revert back to pricing on the bullish side of $15.73 on 16-May-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 IMMUNOVANT INC closes at or below $15.90 on 16-May-2025. Based on our risk-neutral analysis, there is a 51.10% 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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