Skip to main content

Market Overview

Jim Strugger's Marriott Options Trade

Share:

Speaking on Bloomberg Markets, Jim Strugger of MKM Holdings suggested a stock replacement strategy in Marriott International Inc (NASDAQ: MAR).

He thinks that Marriott is a suitable candidate for the strategy because it's trading almost 30 percent higher since November and it doesn't pay a big dividend. The company is going to report earnings on Wednesday and Strugger wants to reduce risk and replace the long stock position with a long position in the July 90/100 call spread. The call spread would cost him $2.70 and the break point for the trade is at $92.70 or approximately 6 percent above the current market price. If the stock jumps to $100 or higher, the trade is going to reach the maximal profit of $7.30.

 

Related Articles (MAR)

View Comments and Join the Discussion!

Posted-In: Bloomberg Markets Jim StruggerOptions Markets Media

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com