Quantchabot has detected a new Bear Put Spread trade opportunity for GLOBAL PAYMENTS (GPN) for the 17-Apr-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
GPN was recently trading at $70.62 and has an implied volatility of 80.80% for this period. Based on an analysis of the options available for GPN expiring on 17-Apr-2025, there is a 37.35% likelihood that the underlying will close within the analyzed range of $68.12-$70.63 at expiration. In this scenario, the average linear return for the trade would be 21.17%.
Big -16.05% Change: After closing the last trading session at $84.12, GLOBAL PAYMENTS opened today at $75.26 and has reached a low of $70.50.
Trade approach: A movement as big as -16.05% is a significantly bearish indicator, so this trade is designed to be profitable if GPN maintains its current direction and does not revert back to pricing on the bullish side of $70.62 on 17-Apr-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 GLOBAL PAYMENTS closes at or below $70.95 on 17-Apr-2025. Based on our risk-neutral analysis, there is a 55.78% 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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