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.
- Discover Financial Services (NYSE: DFS)'s current trading price of $52.70 represents a 22 percent discount to Yahoo! Finance’s average analyst price target.
- Discover Financial has a 10.12 price-to-earnings ratio, compared to P/Es of 27.31 and 28.35 for Visa Inc (NYSE: V) and Mastercard Inc (NYSE: MA), respectively.
- Discover Financial's dividend yield is 2.02 percent, higher than American Express Company (NYSE: AXP)'s 1.82 percent and nearly twice Visa’s 0.71 percent yield.
- The company has had earnings surprises in 12 out of the past 15 quarters.
Discover Financial could be a good fit for investors looking for a play in financials following the recent interest rate announcement.
Even in the prevailing low-rate environment, three analysts raised their price targets an average of 4.7 percent following their Q1 earnings release.
Discover has already rebounded 2 percent from lows hit Thursday after the Federal Reserve Bank’s announcement that rates would stay put. Shares traded Friday at $52.64 two hours before the close.
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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