June 13, 2011 8:51 AM | 1 min read
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
Jefferies reiterated its Buy on Smithfield Foods (NYSE: SFD). At the same time, Jefferies lowered its price target on the company's stock from $26 to $24. In a research report published today, Jefferies stressed that Smithfield's traders are currently undervalued, in spite of the company's problems. In the report, Jefferies states, "SFD shares have dropped 20% over the last 6 weeks as industry pork processingmargins saw unprecedented contraction - the result of a 15% jump in live hog& 3% drop in pork prices. While we acknowledge that the FY12 Street estimateneeds to come down, SFD's current valuation (5X EBITDA) implies FY12 marginswill be cut almost in half - unlikely in our view."On Friday, Smithfield closed the week at $19.02.
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.