Recommendation: ST
Current Price: $172.65
Total Wheels: 1
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 |
|---|---|---|---|---|---|---|---|
| MMM | 167.5 | 1.51 | 172.65 | 11 (2026-02-20) | 73.11% | 0.90% | 1.16x |
| MMM | 170.0 | 4.65 | 172.65 | 31 (2026-03-20) | 59.14% | 2.74% | 1.14x |
| MMM | 170.0 | 6.3 | 172.65 | 51 (2026-04-17) | 58.17% | 3.71% | 1.11x |
| MMM | 165.0 | 2.89 | 172.65 | 31 (2026-03-20) | 71.32% | 1.75% | 1.11x |
| MMM | 165.0 | 4.3 | 172.65 | 51 (2026-04-17) | 68.06% | 2.61% | 1.09x |
| MMM | 170.0 | 9.5 | 172.65 | 95 (2026-06-18) | 57.64% | 5.59% | 1.09x |
| MMM | 165.0 | 7.45 | 172.65 | 95 (2026-06-18) | 64.58% | 4.52% | 1.08x |
| MMM | 160.0 | 1.8 | 172.65 | 31 (2026-03-20) | 80.68% | 1.12% | 1.08x |
| MMM | 160.0 | 2.9 | 172.65 | 51 (2026-04-17) | 76.48% | 1.81% | 1.07x |
| MMM | 155.0 | 1.21 | 172.65 | 31 (2026-03-20) | 86.85% | 0.78% | 1.06x |
| MMM | 155.0 | 1.95 | 172.65 | 51 (2026-04-17) | 83.32% | 1.26% | 1.05x |
| MMM | 152.5 | 0.34 | 172.65 | 11 (2026-02-20) | 94.44% | 0.22% | 1.05x |
| MMM | 150.0 | 0.76 | 172.65 | 31 (2026-03-20) | 91.47% | 0.51% | 1.04x |
| MMM | 150.0 | 0.17 | 172.65 | 11 (2026-02-20) | 96.90% | 0.11% | 1.03x |