July 1, 2011 8:28 AM | 1 min read |
27% profit every 20 days?
This is what Nic Chahine averages with his option 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.
Goldman Sachs is lowering its earnings estimates on Schnitzer Steel Industries (NASDAQ: SCHN). It has a Neutral rating and a $68 price target on shares.In a note to clients, Goldman Sachs writes, "We are lowering SCHN's FY4Q2011 estimate to $1.31 from $1.36 as webelieve higher scrap purchase costs could have some impact on margins despite being partially offset by higher volumes. The company reported FY3Q2011 EPS of $1.17, better than our estimate of $1.16. Due to these changes, our FY2011 estimate is now $4.22 from $4.26. There is no change to FY2012/13/normalized estimate at $5.50/$6.20/$6.00. We maintain our 6-month target price based on CY 2011 P/E and EV/EBITDA at $68. Although we maintain our Neutral rating on SCHN as we see better near-term upside in our Buy-rated names, ATI, STLD, FCX and AA, it is one of our favorite long-term investment ideas on the back of our long-term constructive view on scrap. We believe that scrap supply will lag the growing demand from emerging economies for the foreseeable future."Shares of SCHN gained $1.16 yesterday to close at $57.60, a gain of 2.06%.
27% profit every 20 days?
This is what Nic Chahine averages with his option 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.
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