Recommendation: NO
Current Price: $154.65
Total Wheels: 28
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 | 148.0 | 2.6 | 154.65 | 9 (2026-02-13) | 70.86% | 1.76% | 1.41x |
| FAS | 130.0 | 2.9 | 154.65 | 34 (2026-03-20) | 83.79% | 2.23% | 1.15x |