Recommendation: NO
Current Price: $51.19
Total Wheels: 11
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 |
|---|---|---|---|---|---|---|---|
| LUV | 50.0 | 0.75 | 51.19 | 9 (2026-02-13) | 65.97% | 1.50% | 1.32x |
| LUV | 51.0 | 1.4 | 51.19 | 14 (2026-02-20) | 53.70% | 2.75% | 1.30x |
| LUV | 50.0 | 2.1 | 51.19 | 34 (2026-03-20) | 59.95% | 4.20% | 1.20x |
| LUV | 50.0 | 3.9 | 51.19 | 98 (2026-06-18) | 59.05% | 7.80% | 1.12x |
| LUV | 47.5 | 2.88 | 51.19 | 98 (2026-06-18) | 67.38% | 6.06% | 1.11x |
| LUV | 42.0 | 0.45 | 51.19 | 24 (2026-03-06) | 89.75% | 1.07% | 1.11x |
| LUV | 45.0 | 0.7 | 51.19 | 34 (2026-03-20) | 83.62% | 1.56% | 1.10x |
| LUV | 48.0 | 0.09 | 51.19 | 4 (2026-02-06) | 91.84% | 0.19% | 1.09x |
| LUV | 46.0 | 0.34 | 51.19 | 19 (2026-02-27) | 87.14% | 0.74% | 1.09x |
| LUV | 45.0 | 2.0 | 51.19 | 98 (2026-06-18) | 75.23% | 4.44% | 1.09x |
| LUV | 40.0 | 1.75 | 51.19 | 164 (2026-09-18) | 82.85% | 4.37% | 1.06x |
| LUV | 40.0 | 0.18 | 51.19 | 24 (2026-03-06) | 95.02% | 0.45% | 1.05x |
| LUV | 46.5 | 0.04 | 51.19 | 4 (2026-02-06) | 96.68% | 0.09% | 1.04x |
| LUV | 35.0 | 0.45 | 51.19 | 98 (2026-06-18) | 93.51% | 1.29% | 1.03x |
| LUV | 32.5 | 0.66 | 51.19 | 164 (2026-09-18) | 92.92% | 2.03% | 1.03x |
| LUV | 46.0 | 0.02 | 51.19 | 4 (2026-02-06) | 97.93% | 0.04% | 1.02x |
| LUV | 27.5 | 0.08 | 51.19 | 34 (2026-03-20) | 98.61% | 0.29% | 1.02x |
| LUV | 35.0 | 0.1 | 51.19 | 34 (2026-03-20) | 98.18% | 0.29% | 1.02x |