Example Short Put Vertical In Lululemon (LULU) Ahead of 1Q Report

Joe Tigay overviews an example trade in Lululemon ahead of its first quarter report after-hours Thursday. He plans to sell the July 16 $300/$290 short put vertical for a debit of $2.75. There is close to a 1% return on cash to wait, but this trade comes with the risk of losing $7.25 if the stock moves below $300.

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Example Short Put Vertical In Lululemon (LULU) Ahead of 1Q Report

Joe Tigay overviews an example trade in Lululemon ahead of its first quarter report after-hours Thursday. He plans to sell the July 16 $300/$290 short put vertical for a debit of $2.75. There is close to a 1% return on cash to wait, but this trade comes with the risk of losing $7.25 if the stock moves below $300.