Recommendation: HV
Current Price: $54.02
Total Wheels: 8
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 |
|---|---|---|---|---|---|---|---|
| MP | 51.0 | 1.5 | 54.02 | 10 (2026-07-10) | 69.56% | 2.94% | 1.67x |
| MP | 50.0 | 1.64 | 54.02 | 15 (2026-07-17) | 71.61% | 3.28% | 1.48x |
| MP | 50.0 | 3.75 | 54.02 | 40 (2026-08-21) | 66.50% | 7.50% | 1.36x |
| MP | 50.0 | 4.8 | 54.02 | 60 (2026-09-18) | 65.75% | 9.60% | 1.29x |
| MP | 45.0 | 2.01 | 54.02 | 40 (2026-08-21) | 79.06% | 4.47% | 1.24x |
| MP | 45.0 | 5.5 | 54.02 | 145 (2027-01-15) | 73.53% | 12.22% | 1.16x |
| MP | 47.0 | 0.14 | 54.02 | 4 (2026-07-02) | 93.68% | 0.30% | 1.15x |
| MP | 40.0 | 3.5 | 54.02 | 145 (2027-01-15) | 80.90% | 8.75% | 1.13x |
| MP | 35.0 | 0.18 | 54.02 | 15 (2026-07-17) | 96.90% | 0.51% | 1.09x |
| MP | 32.0 | 1.32 | 54.02 | 145 (2027-01-15) | 91.06% | 4.13% | 1.07x |