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.
CNBC host Jim Cramer said he believes that shares of two fintech companies — PayPal Holdings Inc. (NASDAQ:PYPL) and Reddit-favorite SoFi Technologies Inc. (NASDAQ:SOFI) — are worth buying now.
What Happened: Cramer said on his “Mad Money” show that investors should look to get some exposure to “nouveau banks,” as expectations remain high for Wall Street banks heading into earnings season.
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The six nouveau banks named by Cramer are PayPal, SoFi Technologies, Jack Dorsey-led Square Inc. (NYSE:SQ), Upstart Holdings Inc. (NASDAQ:UPST), Affirm Holdings Inc. (NASDAQ:AFRM) and Robinhood Markets Inc. (NASDAQ:HOOD).
Cramer believes PayPal and SoFi Technologies are worth buying now as the two stocks are down from their highs recorded earlier this year.
PayPal offers a buy now, pay later platform as well as cryptocurrency trading, while SoFi Technologies could receive a banking charter, the CNBC host noted.
See Also: SoFi Technologies: A Powerful Revenue Growth Story, Morgan Stanley Says
Why It Matters: It was reported in September that PayPal released a new application rich in cryptocurrency features and also announced a partnership with online bank Synchrony Bank to power its high yield savings account.
The stock is down 17.3% from its 52-week high of $310.16 touched in late July and its year-to-date returns stand at 9.46%.
SoFi Technologies is seeing high interest from retail investors and was the third-most discussed stock on Reddit’s r/WallStreetBets forum as of Wednesday night.
The stock is down 33% from its 52-week high of $28.26 touched in February, while its year-to-date returns are almost 55.01%.
Price Action: PayPal Holdings shares closed 0.2% higher in Wednesday’s trading session at $256.36, while SoFi Technologies shares closed almost 0.3% lower in at $18.92.
Read Next: Financial and Technology Stocks Making Headlines
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.