Quantchabot has detected a new Bull Put Spread trade opportunity for TERNS PHARMACEUTICALS INC. (TERN) for the 20-Feb-2026 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
TERN was recently trading at $36.96 and has an implied volatility of 76.22% for this period. Based on an analysis of the options available for TERN expiring on 20-Feb-2026, there is a 34.20% likelihood that the underlying will close within the analyzed range of $37.11-$47.41 at expiration. In this scenario, the average linear return for the trade would be 13.74%.
Big 7.29% Change: After closing the last trading session at $34.45, TERNS PHARMACEUTICALS INC. opened today at $34.45 and has reached a high of $37.13.
Trade approach: A movement as big as 7.29% is a significantly bullish indicator, so this trade is designed to be profitable if TERN maintains its current direction and does not revert back to pricing on the bearish side of $36.96 on 20-Feb-2026. 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 TERNS PHARMACEUTICALS INC. closes at or above $35.55 on 20-Feb-2026. Based on our risk-neutral analysis, there is a 56.96% 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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