Recommendation: NO
Current Price: $9.69
Total Wheels: 19
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 |
|---|---|---|---|---|---|---|---|
| BITO | 9.5 | 0.34 | 9.69 | 11 (2026-02-20) | 59.31% | 3.58% | 1.62x |
| BITO | 7.0 | 0.11 | 9.69 | 31 (2026-03-20) | 91.56% | 1.57% | 1.12x |
| BITO | 5.0 | 0.05 | 9.69 | 31 (2026-03-20) | 97.16% | 1.00% | 1.08x |