Carrier Global Stock Offers Solid Entry Point for Options Bulls

Year-to-date, CARR remains up roughly 49%

Sep 14, 2021 at 10:33 AM

carr

Shares of HVAC name Carrier Global Corp (NYSE:CARR) have pulled back slightly from their all-time highs just shy of $60, as well as the $50 billion market-cap and 50% year-to-date mark. This dip, combined with the stock’s 49% gain for 2021, makes now a prime entry point for bulls to bet big on CARR.

In late July, Carrier Global posted a revenue and earnings beat while raising its full-year guidance. A share repurchase program that was also authorized can serve as a potential tailwind for the equity.

Analysts are split on CARR, leaving ample room for upgrades moving forward. Heading into Friday’s trading, 50% of the 14 covering brokerages carried a tepid "hold" recommendation.

Lastly, Carrier Global stock premiums can be had for a bargain at the moment. This is per the security's Schaeffer's Volatility Index (SVI) of 26%, which sits higher than just 16% of readings from the past 12 months. Our recommended January 2022 call has a leverage ratio of 7.2, and will double in value on a 13.8% rise in the underlying security.

Subscribers to Schaeffer's Weekend Trader options recommendation service received this CARR commentary on Sunday night, along with a detailed options trade recommendation -- including complete entry and exit parameters. Learn more about why Weekend Trader is one of our most popular options trading services.

Follow @Schaeffers

Minimize Risk While Maximizing Profits

There is no options strategy like this one, which consistently minimizes risk while maintaining maximum profits. Perfect for traders looking for ways to control risk, reduce losses, and increase the likelihood of success when trading calls and puts. The Schaeffer’s team has over 41 years of options trading success targeting +100% gains on every trade. Rest assured your losses are effectively limited to your initial cost at the time of making your move! Don't waste another second... join us right now before the next trade is released!