Recommendation: NO
Current Price: $48.74
Total Wheels: 12
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 |
|---|---|---|---|---|---|---|---|
| CRSP | 45.0 | 0.5 | 48.74 | 5 (2026-02-13) | 82.13% | 1.11% | 1.58x |
| CRSP | 42.5 | 1.8 | 48.74 | 50 (2026-04-17) | 76.23% | 4.24% | 1.17x |
| CRSP | 32.5 | 0.9 | 48.74 | 94 (2026-06-18) | 90.68% | 2.77% | 1.07x |
| CRSP | 32.5 | 0.3 | 48.74 | 50 (2026-04-17) | 95.47% | 0.92% | 1.05x |