Call Options on UCTT on 9/19/2017

UCTT Breaks to the upside, See Stockwinners.comUltra Clean Holdings, Inc. (UCTT) designs, develops, prototypes, engineers, manufactures, and tests production tools, modules, and subsystems for the semiconductor capital equipment and equipment industry segments primarily in North America, Asia, and Europe.

It offers precision robotic systems that are used when accurate controlled motion is required; gas delivery systems, which include one or more gas lines consisting of small diameter internally polished stainless steel tubing products, filters, mass flow controllers, regulators, pressure transducers and valves, component heaters, and an integrated electronic and/or pneumatic control system; and various industrial and automation production equipment products.

The company also provides subsystems, such as wafer cleaning sub-systems; chemical delivery modules that deliver gases and reactive chemicals in a liquid or gaseous form from a centralized subsystem to the reaction chamber; frame assemblies, which are support structures fabricated from steel tubing or folded sheet metal; and top-plate assemblies. In addition, it offers liquid delivery systems; process modules, which are the subsystems of semiconductor manufacturing tools that process integrated circuits onto wafers; and other high level assemblies.

The company primarily serves original equipment manufacturing customers in the semiconductor capital equipment, consumer, medical, energy, industrial, flat panel, and research industries. 

Shares have broken out of an upward trading channel and higher share prices are expected for this stock. Yesterday, Craig-Hallum analyst Christian Schwab said Applied Materials' (AMAT) upcoming analyst day scheduled for September 27th in NYC could be a positive catalyst of shares. Further, Schwab says that with Ultra Clean (UCTT) being a significant supplier to Applied Materials he would expect the company to benefit from strength at the latter as well. 

 

52-weeks Trading Range: $6.79 - $28.77

Entry Point: $28.20

Trade

  • Buy 1 October $30.00 Call at $0.85
  • For a net debit of $0.85

Profit/Loss Analysis

  • Breakeven at $30.85
  • Maximum profit is unbounded
  • Maximum loss is ($85.00) at strike of $30.00

Closing Summary

  • Sold 1 October $30.00 Call at $2.50

Position closed on 10/2/2017 at price of $2.50 with a 194.12% gain in 12 days.

Updates

10/2/2017 10:26:49 AM

UCTT October $30 Call sold for $2.50

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