Put Options on SYY on 8/28/2013

Sysco Corporation (SYY) engages in the marketing and distribution of a range of food and related products primarily to the foodservice or food-away-from-home industry.

The company distributes a line of frozen foods, such as meats, fully prepared entrees, fruits, vegetables, and desserts; a line of canned and dry foods; fresh meats; dairy products; beverage products; imported specialties; and fresh produce. It also supplies various non-food items, including paper products, such as disposable napkins, plates, and cups; tableware comprising china and silverware; cookware consisting of pots, pans, and utensils; restaurant and kitchen equipment and supplies; and cleaning supplies. In addition, it distributes personal care guest amenities, equipment, housekeeping supplies, room accessories, and textiles to the lodging industry.

The company offers its products to the restaurants, hospitals, schools, hotels, industrial caterers, lodging establishments, and other foodservice customers through distribution facilities.

Shares have formed a bearish "flag" following the company's poor earning. Lower share prices are expected for this stock.

52-Week Trading Range: $29.75 - $36.05

Entry Point:  $31.52

Here is the trade: 

Buy One September $32 Put option for less than $0.72

Trade Buy 1 September $32.00 Put at $0.72 For a net debit of $0.72 Profit/Loss Analysis Breakeven at $31.28 Maximum profit is unbounded Maximum loss is ($72.00) at strike of $32.00 Closing Summary Sold 1 September $32.00 Put at $0.00

Position closed on 9/23/2013 at price of $0.00 with a -100.00% loss in 25 days.

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