Put Options on CRI on 10/3/2016

Carter’s, Inc. (CRI) source, and market branded childrenswear under the Carter’s, Child of Mine, Just One You, Precious Firsts, OshKosh, and other brands.

The company operates through five segments: Carter’s Retail, Carter’s Wholesale, OshKosh Retail, OshKosh Wholesale, and International.

Its Carter’s products include baby products, such as bodysuits, pants, dresses, three piece sets, receiving blankets, layette gowns, bibs, caps, and booties; play clothes products comprising knit and woven cotton apparel; sleepwear products consisting of pajamas and blanket sleepers; and other products including bedding, outerwear, swimwear, shoes, socks, diaper bags, gift sets, toys, and hair accessories for sizes newborn to eight.

The company’s OshKosh brand products comprise playclothes products that include denim, overalls, T-shirts, fleece, and other playclothes for sizes newborn to 12. It also offers baby, sleepwear, outerwear, shoes, hosiery, and accessories under the OshKosh brand.

The company distributes its products through department stores, chain and specialty stores, and discount retailers, as well as company-operated stores and Websites. As of January 2, 2016, it operated 594 Carter’s and 241 OshKosh stores in the United States; and 147 company-operated stores in Canada. 

Shares have formed a bearish "flag" following its disappointing quarterly report and same-store-sales that missed the estimates. Lower share pirces are expected for this stock.

52-Weeks Trading Range: $82.22 - $112.58

Last Trade: $86.71

Trade Buy 1 October $87.50 Put at $1.75 For a net debit of $1.75 Profit/Loss Analysis Breakeven at $85.75 Maximum profit is unbounded Maximum loss is ($175.00) at strike of $88.00 Closing Summary Sold 1 October $87.50 Put at $2.00

Position closed on 10/20/2016 at price of $2.00 with a 14.29% gain in 17 days.

Updates

10/20/2016 10:31:35 AM

We are closing CRI $87.5 Put Options at $2.00.

This contract expires tomorrow.

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