7/4/2022 Plan:
This week we look at Pinterest (Ticker: PINS)
7/4/2022 Plan (continued):
- PINs – sell the Jul 22 14 put for 0.17
- Prices are as of market close 7/1/2022, actual fill and strikes may differ depending on Tuesday’s open, post will be updated accordingly.
- All trades are for educational purposes and do not constitute advice
7/4/2022 Commentary:
This week’s trade is a simple play to get long Pinterest at a much lower level and get paid to allocate that capital for a few weeks. Do not take this trade unless you want to hold Pinterest for a long time at the 14 level!
Feel free to Reach out with questions on this or anything else!
7/5/2022 Entry:
Sold JUL 22 14 puts for 0.17 in PINS
7/10/2022 Update:
The PINS puts are now worth only 0.07. Could close at any time for a quick win. We have 2 weeks until expiration – I’ll plan to let them go that long as I’d add shares at the 14 level.
7/17/2022 Update:
You could close the profitable PINS 14 put now – likely for 0.02 – or hold through expiration this week to try and capture a couple dollars. Alternatively, you could take a flier and Buy the 14.5 put for 0.02 giving you a far out of the money put spread lottery ticket. You’d be long the 14.5/14 put spread and could make money if PINS dramatically plummets this week. This is Highly unlikely, but worth knowing about this strategy as it can offer a bit of disaster protection. I’ll probably just hold through expiration or try to close tomorrow for 0.01 if I have time.
7/23/2022 Close:
PINS ended the week north of 18 and our 14 puts expired worthless, never really at risk this week. A fine $17 profit per put sold added to our accounts. There was a big selloff in social media companies, though (bad SNAP earnings), and PINS announces earnings this week. I’ll avoid the name for now and take another look next week.
