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.
Between Monday morning and Tuesday, shares of Rigel Pharmaceuticals, Inc. (NASDAQ: RIGL) jumped more than 50 percent on the back of the announcement that the company’s oral spleen tyrosine kinase (SYK) inhibitor, fostamatinib, had met the primary endpoint in the final stage trial program for adult chronic/persistent immune thrombocytopenia treatment.
The stock gave up some of gains on Wednesday, probably reflecting some profit taking. Shares lost 14.25 percent, closing at $3.37.
Ahead of this tumble, BMO analyst Do Kim reiterated an Outperform rating on Rigel, hiking his price target from $4 to $6.
The analyst argued that "the significant 18% response rate versus placebo support FDA approval (pending similar results from second study)" and BMO’s WW peak sales estimate of $742 million in ITP. Furthermore, the rate boosts the odds of the AIHA Phase II study due to the same disease mechanism.
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BMO analysts think "the positive ITP data will attract an ex-US partner, further validating fostamatinib's market opportunity."
While timing would depend on how long prior discussions go on for, a partnership could be closed shortly after the release of the results of the second Phase III study in October or November.
The firm anticipates an FDA filing to come some time in the first quarter of 2017.
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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