Quantchabot has detected a new Bull Put Spread trade opportunity for PENSKE AUTOMOTIVE GROUP (PAG) for the 18-Jul-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
PAG was recently trading at $182.01 and has an implied volatility of 22.16% for this period. Based on an analysis of the options available for PAG expiring on 18-Jul-2025, there is a 34.25% likelihood that the underlying will close within the analyzed range of $182.38-$191.19 at expiration. In this scenario, the average linear return for the trade would be 17.69%.
52 week high: PENSKE AUTOMOTIVE GROUP recently reached a new 52-week high at $182.31. PAG had traded in the range $134.05-$180.12 over the past year.
Trade approach: Reaching a new 52-week high is a bullish indicator, so this trade is designed to be profitable if PAG maintains its current direction and does not revert back to pricing on the bearish side of $182.01 on 18-Jul-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 PENSKE AUTOMOTIVE GROUP closes at or above $182.35 on 18-Jul-2025. Based on our risk-neutral analysis, there is a 50.10% 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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