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Scott Bauer's Lowe's Options Trade

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Scott Bauer's Lowe's Options Trade
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Scott Bauer of Trading Advantage spoke on Bloomberg Markets about a bullish options trade in Lowe's Companies, Inc. (NYSE: LOW).

He wants to buy the January 85/90 call spread for $1.25. The trade breaks even at $86.25 or 4.70 percent above the current stock price. If the stock jumps to $90 or higher, the trade is going to reach its maximal profit of $3.75.

Bauer believes the current stock price is technically a good buy level and the options market is pricing in a move of around $4.50.

Related Links:

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Raymond James: Rising Home Prices, Wages Could Be A Major Boon For Lowe's

Posted-In: Bloomberg Markets Scott BauerOptions Markets Media Best of Benzinga

 

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