Quantchabot has detected a new Bear Call Spread trade opportunity for ADVANCE AUTO PARTS (AAP) for the 27-Feb-2026 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
AAP was recently trading at $40.13 and has an implied volatility of 65.61% for this period. Based on an analysis of the options available for AAP expiring on 27-Feb-2026, there is a 34.20% likelihood that the underlying will close within the analyzed range of $32.55-$40.29 at expiration. In this scenario, the average linear return for the trade would be 83.20%.
Big -7.11% Change: After closing the last trading session at $43.20, ADVANCE AUTO PARTS opened today at $42.05 and has reached a low of $40.01.
Trade approach: A movement as big as -7.11% is a significantly bearish indicator, so this trade is designed to be profitable if AAP maintains its current direction and does not revert back to pricing on the bullish side of $40.13 on 27-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 bearish strategy, the trade would be profitable if ADVANCE AUTO PARTS closes at or below $40.74 on 27-Feb-2026. Based on our risk-neutral analysis, there is a 52.07% 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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