March 5, 2013 10:19 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.
Yahoo (NASDAQ: YHOO) has been a favorite of analysts in recent weeks. The Internet giant got yet another upgrade Tuesday, as Cantor Fitzgerald raised the company from a Hold to a Buy with a $26 price target.Shares of Yahoo gapped up about 1% at the open Tuesday, breaking to a new 52-week high.Like Barclays Monday, analysts at Cantor cite favorable trends in the value of Yahoo's oversees assets. Specifically, Cantor believes Yahoo's remaining stake in Alibaba could be worth $15.8 billion. On Yahoo's last conference call, it valued the remaining Alibaba stake at only $8.1 billion.In addition to the Alibaba stake, Cantor thinks Yahoo Japan has become more valuable. Previously, Yahoo's Japanese venture was worth about $3.20 per share, now Cantor believes it could be worth $4.50 per share.Since hedge fund magnate Dan Loeb joined Yahoo's board, the company has seemingly embraced a strategy of selling off its non-core assets and returning the capital to shareholders. Last September, Yahoo began a $3 billion stock repurchase program after it sold part of its Alibaba stake.Shares of Yahoo traded near $22.80 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.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.