The drop on Friday in Lowes Stock has a number of investors worried. They are holding the $70 naked puts strike for Nov 20 expiry and wondering how to setup a rescue or whether to even entertain one at present.
Lowes Stock Earnings
Earnings are to be released on Nov 18 and analysts are expecting a good quarterly report with earnings estimated at 78 cents per shares versus 59 cents for the same quarter last year. Revenue is expected to be $14.3 billion, up from $13.7 billion from last year.
As long as the earnings come in as forecast I cannot see a problem for the stock. If earnings come in weaker than estimates the stock will fall. To decide on rolling down for those investors who are nervous with Lowes closing today at $70.09, we can pick from a variety of choices to assist in making a decision.
Consider These Choices
Options provide flexibility so when a trade becomes worrisome to an investor they need to have different choices to reflect upon to determine what, if anything, would be the best course of action to take.
The rest of this article is for FullyInformed Members.
Choices To Consider in Lowes Stock – Nov 13 2015
Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk. Stocks, options and investing are risky and can result in considerable losses. None of the strategies, stocks or information discussed and presented are financial or trading advice or recommendations. Everything presented and discussed are the author’s own trade ideas and opinions which the author may or may not enter into. The author assumes no liability for topics, ideas, errors, omissions, content and external links and trades done or not done. The author may or may not enter the trades mentioned. Some positions in mentioned stocks may already be held or are being adjusted.