Call Spread on URI on 1/9/2014

United Rentals (URI) operates as an equipment rental company.

It offers approximately 3,300 classes of equipment for rent to customers comprising construction and industrial companies, manufacturers, utilities, municipalities, homeowners, and government entities. The company’s fleet of rental equipment includes general construction and industrial equipment, such as backhoes, skid-steer loaders, forklifts, earthmoving equipment, and material handling equipment; aerial work platforms consisting of boom lifts and scissor lifts; and general tools and light equipment, including pressure washers, water pumps, and power tools.

Its fleet also comprises trench safety equipment, such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers, and line testing equipment for underground work; and power and heating, ventilating, and air conditioning equipment, which consists of portable diesel generators, electrical distribution equipment, and temperature control equipment, including heating and cooling equipment.

In addition, the company sells new and used equipment, as well as related contractor supplies, parts, and service; and offers repair, maintenance, and rental protection services.

Shares have formed a bullish "cup & handle" and higher share prices are expected for this stock.

52-Week Trading Range: $44.85 - $79.36

Last Trade: $79.32

Trade Buy 1 February $77.50 Call at $4.50 Sell 1 February $82.50 Call at $2.20 For a net debit of $2.30 Profit/Loss Analysis Breakeven at $79.80 Maximum profit is $270.00 at strike of $83.00 Maximum loss is ($230.00) at strike of $77.00 Closing Summary Sold 1 February $77.50 Call at $6.15 Bought 1 February $82.50 Call at $2.70

Position closed on 1/23/2014 at price of $3.45 with a 50.00% gain in 14 days.

Updates

1/23/2014 12:48:21 PM

We are taking profits on URI Call Spread. 

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