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.
Electronic Arts Inc. (NASDAQ: EA) hosted its Investor Day on Tuesday. Focused on the long-term prospects of the company, management shared a look into many of the upcoming opportunities, including the expansion of live services, mobile, the construction of a player network and competitive gaming.
Following the event, Pacific Crest analysts Evan Wilson and Tyler Parker pointed out, “These are all interesting ongoing industry themes, but we did not learn enough to think differently about the model.” Consequently, they reiterated a Sector Weight rating on the stock.
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A Closer Look At EA’s Opportunities
First off, the experts went into live services, noting that the company is still focused on them and is seeking to strengthen its IP portfolio. And, given that Ultimate Team in "FIFA" and "GTA Online" have been “the biggest product-specific profit drivers of this cycle, this makes a lot of sense,” the report stated.
Another interesting theme the analysts picked up was EA’s intention to focus on non-pro competitive eJocks/gamers, to get mass appeal. In fact, the company believes “the revenue opportunity will be driven by microtransactions and full-game sales associated with increased activity rather than advertising or selling tickets and merchandise to big eSports events. This makes sense for EA as it does not make the games favored by most pros,” they explicated.
Finally, Wilson and Parker looked into EA’s desire to create a video game network. While they see this as “a noble goal,” they believe the challenge will be big, given that “gamers typically play games from several different publishers.”
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.