Recommendation: NO
Current Price: $55.65
Total Wheels: 14
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 |
|---|---|---|---|---|---|---|---|
| SVXY | 53.0 | 0.61 | 55.65 | 15 (2026-07-17) | 75.80% | 1.15% | 1.16x |
| SVXY | 46.0 | 0.14 | 55.65 | 15 (2026-07-17) | 95.22% | 0.30% | 1.05x |