Quantchabot has detected a new Covered Put trade opportunity for 89BIO INC. (ETNB) for the 17-Oct-2025 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine.
ETNB was recently trading at $8.54 and has an implied volatility of 75.37% for this period. Based on an analysis of the options available for ETNB expiring on 17-Oct-2025, there is a 34.18% likelihood that the underlying will close within the analyzed range of $6.62-$8.59 at expiration. In this scenario, the average linear return for the trade would be 19.06%.
Big -7.58% Change: After closing the last trading session at $9.24, 89BIO INC. opened today at $9.36 and has reached a low of $8.48.
Trade approach: A movement as big as -7.58% is a significantly bearish indicator, so this trade is designed to be profitable if ETNB maintains its current direction and does not revert back to pricing on the bullish side of $8.54 on 17-Oct-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 89BIO INC. closes at or below $8.73 on 17-Oct-2025. Based on our risk-neutral analysis, there is a 52.56% 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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