UPDATE: Bank of America Upgrades Vitamin Shoppe to Buy on Healthy and Sustainable Growth


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.


Bank of America raised its rating on Vitamin Shoppe (NYSE: VSI) from Neutral to Buy and upped its price objective from $65 to $67. Bank of America noted, "VSI is a rare example of a recession-proof domestic growth story with ample square footage and international potential. Net income is forecast to grow by 25/20/19% from 2012-14 on the back of a 8%/6.5%/6.5% comp and ~9% square footage growth. Importantly, VSI's expected net income growth rate is nearly double that of its hardline peers (~10% per year from 2012-14E) which we believe will help support the company's premium multiple. In addition, with the company debt-free and net cash starting to mount, we believe share repurchases or a dividend could easily be accommodated despite its growth plans."Vitamin Shoppe closed at $56.35 on Tuesday.

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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Posted In: Analyst ColorUpgradesIntraday UpdateAnalyst RatingsBank of America