Put Options on KKD on 9/4/2013

Krispy Kreme Doughnuts (KKD) operates as a branded retailer and wholesaler of doughnuts, beverages, and treats and packaged sweets worldwide.

It owns and franchises Krispy Kreme stores. As of February 3, 2013, the company operated 97 company shops, 142 domestic franchise stores, and 509 international franchise shops. It also produces doughnut mixes and doughnut-making equipment.

The firm reported earnings last week that missed the estimates. Since then, share have fallen through a support level and lower share prices are expected for this stock.

52-Week Trading Range: $6.77 - $23.57

Last Trade: $19.30

Here is the trade:

Buy One October $19 Put option for less than $1.15

Trade Buy 1 October $19.00 Put at $1.15 For a net debit of $1.15 Profit/Loss Analysis Breakeven at $17.85 Maximum profit is unbounded Maximum loss is ($115.00) at strike of $19.00 Closing Summary Sold 1 October $19.00 Put at $0.00

Position closed on 10/18/2013 at price of $0.00 with a -100.00% loss in 44 days.

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