Recommendation: NO
Current Price: $39.83
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 | 38.5 | 0.83 | 39.83 | 8 (2026-04-02) | 66.50% | 2.16% | 1.57x |
| LUV | 38.0 | 0.71 | 39.83 | 8 (2026-04-02) | 71.00% | 1.87% | 1.51x |
| LUV | 39.0 | 2.16 | 39.83 | 24 (2026-04-24) | 58.50% | 5.54% | 1.40x |
| LUV | 38.0 | 1.74 | 39.83 | 29 (2026-05-01) | 64.51% | 4.58% | 1.29x |
| LUV | 37.5 | 2.11 | 39.83 | 39 (2026-05-15) | 65.60% | 5.63% | 1.26x |
| LUV | 37.5 | 2.77 | 39.83 | 63 (2026-06-18) | 64.53% | 7.39% | 1.20x |
| LUV | 35.0 | 1.32 | 39.83 | 39 (2026-05-15) | 76.31% | 3.77% | 1.20x |
| LUV | 35.0 | 1.85 | 39.83 | 63 (2026-06-18) | 73.85% | 5.29% | 1.17x |
| LUV | 36.0 | 0.1 | 39.83 | 4 (2026-03-27) | 94.29% | 0.28% | 1.14x |
| LUV | 37.5 | 4.05 | 39.83 | 129 (2026-09-18) | 63.97% | 10.80% | 1.14x |
| LUV | 34.5 | 0.14 | 39.83 | 8 (2026-04-02) | 92.69% | 0.41% | 1.13x |
| LUV | 35.0 | 3.05 | 39.83 | 129 (2026-09-18) | 71.07% | 8.71% | 1.12x |
| LUV | 32.5 | 2.22 | 39.83 | 129 (2026-09-18) | 77.58% | 6.83% | 1.11x |
| LUV | 30.0 | 0.47 | 39.83 | 39 (2026-05-15) | 90.46% | 1.57% | 1.10x |
| LUV | 30.0 | 1.57 | 39.83 | 129 (2026-09-18) | 83.22% | 5.23% | 1.09x |
| LUV | 30.0 | 1.96 | 39.83 | 194 (2026-12-18) | 81.92% | 6.53% | 1.07x |
| LUV | 27.5 | 0.43 | 39.83 | 63 (2026-06-18) | 92.56% | 1.56% | 1.06x |
| LUV | 20.0 | 0.17 | 39.83 | 63 (2026-06-18) | 97.55% | 0.85% | 1.03x |
| LUV | 17.5 | 0.38 | 39.83 | 194 (2026-12-18) | 96.41% | 2.17% | 1.03x |