MNV
Market News Video
MNV MNV 10 Bargains You Can Buy Cheaper Than Insiders Did
MNV
MNV
MNV
MNV
MNV
MNV
MNV
Free Dividend Report - Top Ranked Stocks

Featured MNV Articles:

First Week of ENDP October 16th Options Trading
Thursday, February 27, 10:47 AM ET, by Market News Video Staff

Investors in Endo International plc (ENDP) saw new options become available this week, for the ...

First Week of April 9th Options Trading For Endo International (ENDP)
Friday, February 28, 10:47 AM ET, by Market News Video Staff

Investors in Endo International plc (ENDP) saw new options become available this week, for the ...

How The Parts Add Up: PBE Targets $63
Monday, March 2, 8:36 AM ET, by Market News Video Staff

Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, ...

Oversold Conditions For Endo International (ENDP)
Friday, March 6, 4:33 PM ET, by Market News Video Staff

Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy ...

How The Parts Add Up: FTXH Headed For $26
Thursday, April 2, 8:28 AM ET, by Market News Video Staff

Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, ...

ENDP December 4th Options Begin Trading

By Market News Video Staff, Thursday, October 22, 11:23 AM ET
Play Video: The Importance of ETFs


If the video does not load after a few moments, Upgrade to the Latest Flash Player.

Investors in Endo International plc (NASDAQ:ENDP) saw new options begin trading today, for the December 4th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the ENDP options chain for the new December 4th contracts and identified the following call contract of particular interest.

The call contract at the $6.00 strike price has a current bid of 5 cents. If an investor was to purchase shares of ENDP stock at the current price level of $5.60/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $6.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 8.04% if the stock gets called away at the December 4th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if ENDP shares really soar, which is why looking at the trailing twelve month trading history for Endo International plc, as well as studying the business fundamentals becomes important. Below is a chart showing ENDP's trailing twelve month trading history, with the $6.00 strike highlighted in red:

Considering the fact that the $6.00 strike represents an approximate 7% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 51%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 0.89% boost of extra return to the investor, or 7.57% annualized, which we refer to as the YieldBoost.

The implied volatility in the call contract example above is 933%.

Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $5.60) to be 94%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.


This Article's Word Cloud:   Arial   Below   Calls   Channel   Considering   December   ENDP   Endo   International   Options   Stock   YieldBoost   also   call   chart   contract   covered   current   expiration   expire   fillColor   greeks   history   implied   investor   left   looking   month   odds   options   premium   price   return   sell   shares   stock   strike   that   they   those   today   trading   trailing   twelve   volatility   well   which   will   worthless   would
MNV
MNV
About Us - Advertise - Contact Us - Embedding Videos - Licensing Videos - Partners - mRSS / RSS Feed - Terms of Use - Privacy Policy
MNV
Home  |  Analyst News  Dividend Report  ETFs  Insider Report  Large Caps  Market Movers  Week Ahead Report  Weekly Market Wrap
MNV
MNV MNV Chart Zero Stock Market Game Stock Market Definitions
MNV

ENDP December 4th Options Begin Trading | Market News Video | Copyright © 2008 - 2020, All Rights Reserved

Any ideas and opinions presented in all Market News Video clips are for informational and educational purposes only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners. In no way should any content contained herein be interpreted to represent trading or investment advice. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All viewers agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.