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.
Understanding Value Stocks
A value stock is traditionally defined in terms of how investors in the marketplace are valuing that company's future growth prospects. Low P/E multiples are good base indicators that the company is undervalued and can most likely be labelled as a value stock.
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The following stocks are considered to be notable value stocks in the consumer defensive sector:
- Cal-Maine Foods (NASDAQ:CALM) - P/E: 3.09
- Village Super Market (NASDAQ:VLGEA) - P/E: 9.24
- Adecoagro (NYSE:AGRO) - P/E: 8.53
- Herbalife (NYSE:HLF) - P/E: 5.72
- Tarena International (NASDAQ:TEDU) - P/E: 2.84
Cal-Maine Foods's earnings per share for Q3 sits at $6.62, whereas in Q2, they were at 4.07. Most recently, the company reported a dividend yield of 15.92%, which has increased by 7.45% from last quarter's yield of 8.47%.
Most recently, Village Super Market reported earnings per share at $0.85, whereas in Q1 earnings per share sat at $0.76. Its most recent dividend yield is at 4.41%, which has increased by 0.14% from 4.27% in the previous quarter.
Adecoagro's earnings per share for Q1 sits at $0.36, whereas in Q4, they were at 0.17. The company's most recent dividend yield sits at 7.86%, which has increased by 0.43% from 7.43% last quarter.
Most recently, Herbalife reported earnings per share at $0.54, whereas in Q4 earnings per share sat at $0.53. The company's most recent dividend yield sits at 1.71%, which has decreased by 1.82% from 3.53% last quarter.
This quarter, Tarena International experienced a decrease in earnings per share, which was $0.45 in Q3 and is now $-0.18. The company's most recent dividend yield sits at 0.0%, which has decreased by 4.32% from 4.32% last quarter.
The Significance: A value stock may need some time to rebound from its undervalued position. The risk of investing in a value stock is that this emergence may never materialize.
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.