Quantchabot has detected a new Secured Put trade opportunity for CANOPY GROWTH CORP (CGC) for the 30-May-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
CGC was recently trading at $1.23 and has an implied volatility of 621.34% for this period. Based on an analysis of the options available for CGC expiring on 30-May-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $1.24-$10.84 at expiration. In this scenario, the average linear return for the trade would be 21.33%.
Big 21.64% Change: After closing the last trading session at $1.01, CANOPY GROWTH CORP opened today at $1.01 and has reached a high of $1.27.
Trade approach: A movement as big as 21.64% is a significantly bullish indicator, so this trade is designed to be profitable if CGC maintains its current direction and does not revert back to pricing on the bearish side of $1.23 on 30-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 bullish strategy, the trade would be profitable if CANOPY GROWTH CORP closes at or above $1.22 on 30-May-2025. Based on our risk-neutral analysis, there is a 50.23% 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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