Market News Video
MNV MNV 10 Oversold Stocks You Need To Know About
Free Dividend Report - Top Ranked Stocks

Featured MNV Articles:

American Homes 4 Rent Reaches Analyst Target Price
Thursday, August 13, 8:28 AM ET, by Market News Video Staff

In recent trading, shares of American Homes 4 Rent (AMH) have crossed above the average ...

American Homes 4 Rent's Series F Preferred Shares Cross 5.5% Yield Mark
Thursday, August 20, 2:18 PM ET, by Market News Video Staff

In trading on Thursday, shares of American Homes 4 Rent's 5.875% SERIES F CUMULATIVE REDEEMABLE ...

Investors Land AMH Even Cheaper Than Its Secondary Stock Offering
Monday, August 24, 1:11 PM ET, by Market News Video Staff

Looking back to 7 days ago, American Homes 4 Rent (AMH) priced a 13,000,000 share ...

American Homes 4 Rent Moves Up In Market Cap Rank, Passing Everest Re Group
Thursday, September 3, 4:36 PM ET, by Market News Video Staff

In the latest look at stocks ordered by largest market capitalization, Russell 3000 component American ...

Ex-Dividend Reminder: American Homes 4 Rent, United Community Banks and Hamilton Lane
Thursday, September 10, 10:01 AM ET, by Market News Video Staff

On 9/14/20, American Homes 4 Rent (AMH), United Community Banks Inc (UCBI), and Hamilton Lane ...

First Week of April 16th Options Trading For American Homes 4 Rent (AMH)

By Market News Video Staff, Wednesday, March 24, 11:27 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 American Homes 4 Rent (NYSE:AMH) saw new options begin trading this week, for the April 16th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AMH options chain for the new April 16th contracts and identified the following put contract of particular interest.

The put contract at the $30.00 strike price has a current bid of 10 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $30.00, but will also collect the premium, putting the cost basis of the shares at $29.90 (before broker commissions). To an investor already interested in purchasing shares of AMH, that could represent an attractive alternative to paying $32.71/share today.

Because the $30.00 strike represents an approximate 8% discount 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 put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 85%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 0.33% return on the cash commitment, or 5.29% annualized — at Stock Options Channel we call this the YieldBoost.

Below is a chart showing the trailing twelve month trading history for American Homes 4 Rent, and highlighting in green where the $30.00 strike is located relative to that history:

The implied volatility in the put contract example above is 45%.

Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $32.71) to be 33%. For more put and call options contract ideas worth looking at, visit

This Article's Word Cloud:   American   April   Arial   Because   Below   Channel   Homes   Investors   Meanwhile   NYSE   Options   Puts   REITs   Rent   Should   Start   Stock   YieldBoost   also   call   chart   contract   current   expire   fillColor   greeks   history   implied   investor   month   odds   options   premium   price   represent   shares   stock   strike   that   they   this   those   today   trading   trailing   twelve   volatility   will   worthless   would
About Us - Advertise - Contact Us - Embedding Videos - Licensing Videos - Partners - mRSS / RSS Feed - Terms of Use - Privacy Policy
Home  |  Analyst News  Dividend Report  ETFs  Insider Report  Large Caps  Market Movers  Week Ahead Report  Weekly Market Wrap
MNV MNV Chart Zero Stock Market Game Stock Market Definitions

First Week of April 16th Options Trading For American Homes 4 Rent (AMH) | Market News Video | Copyright © 2008 - 2021, 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.