Recommendation: NO
Current Price: $182.21
Total Wheels: 30
EditTypically you want to choose options that have a higher than 70% chance of being out of the money, since then you only have a 30% chance of actually acquiring the stock. Beyond that maximumizing the annualized rate of return is a good idea.
Annualized rate of return is computed fairly bullish as (max_return * odds + (1 - odds)) ^ (252 / calendar_days). This assumes that if you accidently acquire the stock you will be able to do something such that effectively get you a 1x return immediately.
| Ticker | Strike | Premium | Ticker Price | Calendar Days To Expiration | Odds Out Of The Money % | Maximum Return % | Annualized Rate Of Return |
|---|---|---|---|---|---|---|---|
| FAS | 160.91 | 38.03 | 182.21 | 93 (2026-12-18) | 70.41% | 23.63% | 1.52x |
| FAS | 178.0 | 42.0 | 182.21 | 113 (2027-01-15) | 63.91% | 23.60% | 1.37x |
| FAS | 180.0 | 11.4 | 182.21 | 48 (2026-10-16) | 56.54% | 6.33% | 1.20x |