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.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!
Mobileye's stock was under heavy pressure back in April when notable short seller Citron Research published a scathing bear thesis on the stock, which it valued at just $11 at the time.
Mobileye's stock was also hard hit on Tuesday after the company said during a conference call that it will no longer continue cooperating with Tesla Motors Inc (NASDAQ: TSLA) on future technologies.
Mobileye's stock closed for trading at $49.30 on Monday — a day before the announcement. The Israel-based company's Tuesday conference call took place before the U.S. market open and shares opened for trading at $43.33 and hit an intra-day low of $42.15 before closing the day at $45.33.
On Wednesday, the stock regained most of its losses at closed at $47.63. Ahead of Thursday's market open the stock was seen trading at $47.86.
FREE REPORT: How To Learn Options Trading Fast
In this special report, you will learn the four best strategies for trading options, how to stay safe as a complete beginner, a 411% trade case study, PLUS how to access two new potential winning options trades starting today.Claim Your Free Report Here.
Why A Rebound?
The loss of Tesla as a client is notable in the sense that Tesla is a big name in the automotive segment. However, a big name doesn't necessarily imply it has a big dollar amount contract with Mobileye.
In fact, Tesla accounted for around 1 percent of Mobileye's current revenue. In addition, Mobileye already guided its 2019 revenue to be $1.1 billion and Tesla's contribution to that would be around 2 percent.
Wall Street analysts were quick to point out this fact. Barron's cited Dougherty & Co's Charles Anderson, who argued in a research note that Tesla wants to develop its autonomous driving technologies in-house.
Meanwhile, Mobileye's portfolio of clients consists of more than 20 automakers and stakeholders. In fact, Mobileye's clients account for more than 50 percent of the total number of vehicles sold worldwide.
Bottom line, Anderson concluded that Mobileye will continue being a leader in the advanced driver assistance systems (ADAS) space for years to come.
Full ratings data available on Benzinga Pro.
Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email feedback@benzinga.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!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.