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.
Alexion Pharmaceuticals, Inc. (NASDAQ:ALXN) shares climbed 7.5% last Thursday on rumors of a potential buyout and have since given up all of those gains.
Alexion develops therapies for rare diseases and has been rumored to be a takeover target for Amgen, Inc. (NASDAQ:AMGN) for about a year. The speculation gained further momentum last week when Spanish publication Intereconomia carried a report Amgen is close to buying Alexion for $200 per share, suggesting a roughly 74% premium.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Subsequently on Thursday, Mizuho Securities said the report could have some merit to it.
The stock fell 6.6% Friday and is down about 2.5% Monday after Amgen announced a deal to buy Celgene Corporation (NASDAQ:CELG)'s psoriasis drug Otezla for $13.4 billion, as part of a regulatory requirement to consummate its merger with Bristol-Myers Squibb Co (NYSE:BMY).
The weakness seen Monday is apparently stemming from pessimism concerning Amgen making a shy at Alexion in the wake of the multi-billion dollars it is coughing up for Otezla.
At time of publication, Alexion shares were down 2.54% to $112.30 on below-average volume.
Related Links:
Good News For Bad Cholesterol Drug Sends Medicines Company Shares Flying
The Week Ahead In Biotech: A Quiet One Ahead Of Labor Day Weekend
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.