WEDMD (WBMD) Looking Cheap

wbmd

 

WebMd has earnings out after the bell tonight.  The stock has been crushed over the last year.  It has formed a bottom in the mid $22's and I think its geared for a move higher.

Options are thinly traded on WBMD,I do think the $22.50 and $25 calls that expire this month could see a nice increase should we see a pop post earnings tomorrow.

The $25 calls for May were $.15 x $.30 earlier today and are now $.30 x $.40

The $22.50 calls for May  last price $1.05.

To limit risk you could go out to another month such as June.

June $25 calls are $.45 x $.55 and the June $22.50 calls are at $1.35

Profile photo of uranium-pinto-beansKnown to most as Uranium Pinto Beans, Jason has more than 15 years under his belt of trading stocks, options and currencies. His expertise primarily lies in chart analysis, and he has a strong eye for undervalued stock. Because he’s got the ability to identify great risk/reward trades he usually enjoys taking the path less traveled and reaping the benefits from the adventure.

He is a co-founder of Option Millionaires, and he is best known for his weekly webinars with Scott, as well as his high level training webinars and charts found in the forums.

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