4/17/2022 Plan:
This week we take a look at Take-Two Interactive (Ticker: TTWO)
4/17/2022 Plan (continued):
- TTWO – Sell May 13 125/120 put spreads for 0.75 OR
- TTWO- Sell May 6 125/120 put spreads for 0.47
- Prices are as of market close 4/14/2022, actual fill and strikes may differ depending on Monday’s open, post will be updated accordingly.
- All trades are for educational purposes and do not constitute advice
4/17/2022 Commentary:
Take-Two Interactive makes popular video games like Grand Theft Auto and Red Dead Redemption. The stock has moved around a Lot over the last year and this is a riskier trade – size accordingly. With TTWO just shy of $138, we have $13 before our short strike of $125 – almost 10% – and TTWO would have to hit a new 52 week low. Certainly possible, but I like the risk reward of the trade on the 13th.
Feel free to Reach out with questions on this or anything else!
4/18/2022 Entry:
Sold May 13 120/115 put spreads in TTWO for 0.50. Note lower strikes.
4/23/2022 Update:
The TTWO put spreads are down to 0.45, for a $5 profit per spread if we were to close the position now. With TTWO at $136, I plan to keep holding to try and profit more.
4/30/2022 Update:
TTWO dipped below our short strike on Friday as the broader market took TTWO down with it. This position still has a couple weeks on it and I plan to hold. Folks with smaller accounts can cut losses if they prefer.
5/7/2022 Update:
TTWO went down hard with the market and we’re underwater on the trade. Ideally we see a pop this week – if not, we’ll take the loss and move on.
5/14/2022 Close:
TTWO did not recover and we took the full loss of $450 per spread sold.
