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February 2, 2010 7:30 EST Related Symbols: INTC
you're watching:
Mad About Options
An options-related take on Jim Cramer's latest recommendations and analysis on the latest securities and ETFs getting attention on the Street.
A look back at bull and bear plays on Intel, and strategy outcomes in option trades.
Mad About Options takes a look at the stocks getting coverage from Jim Cramer, Fast Money casts and other heavy hitters in the financial press and reviews strategies option traders might have used if they agree or disagree with these assessments of the underlying stocks.
The Pick – Intel Corp. (NASDAQ: INTC)
On Oct. 13, Intel (NASDAQ: INTC) released earnings after the market closed. The company announced 35 cents a share, beating analysts’ estimates of 28 cents. On Jan. 14, the company reported 40 cents per share over the next quarter.
Bullish Option Trades on INTC:
On Oct. 16, bullish investors bought January 14 calls for $6.90 and sold January 21 calls for $1.15. Investors paid $5.75 per spread, and the spreads expired with the stock at $20.80. This trade was a winner of $1.05 with the stock down $1.40.
Bearish Option Trades on INTC:
Bearish investors bought January 2011 30 puts for $10.10 and sold January 2011 20 puts for $2.70, paying $7.40 for this bear put spread. The spread is now marked at $8.20, making this trade a winner of 80 cents with the stock down $1.40.
