Options Traders Bank 300% Profit On Altria Stock

Altria stock was in prime position to bounce on the charts

Jun 29, 2017 at 3:05 PM
facebook X logo linkedin

Subscribers to Schaeffer's Players service recently enjoyed a 300% gain with Altria Group Inc (NYSE:MO) weekly 6/23 71-strike calls. Below, we'll break down how we located MO stock, and how the options trade unfolded. 

We initially recommended Atria stock back on May 22. The shares had retraced their November-to-May rally, and were trading back at the 38.2%-50% retracement zone, also home to their 2016 highs. With the stock breaking away from a previous support level at the 20-day moving average, it looked ready to add to its 5% year-to-date lead. 

Plus, the stock had plenty of upside potential, from a contrarian perspective. For starters, the majority of analysts covering the stock had "hold" or "strong sell" ratings. This pessimism was also seen among options traders, with MO shares sporting a Schaeffer's put/call open interest ratio (SOIR) 1.16, which was only 4 percentage points from a 12-month high. We suspected an unwinding of some of this pessimism could help Altria on the charts. 

MO shares began to climb immediately after our trade, allowing us to close half the position on May 30. After a brief period of consolidation, Altria stock made another upside push to record-high territory, and we finally closed our bullish position on June 20, allowing options traders to quadruple their money. 

altria stock


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI