Best Stock on the Market

Put Options on CENT on 4/1/2019

broken support on $CENTCentral Garden & Pet Company (CENT) produces and distributes products for the lawn and garden, and pet supplies markets in the United States.

It operates through two segments, Pet and Garden.

The Pet segment supplies products for dogs and cats, including edible bones, edible and non-edible chews, dog and cat food and treats, toys, pet carriers, grooming supplies, and other accessories; and products for birds, small animals, and specialty pets, such as food, cages and habitats, toys, chews, and related accessories.

It also provides animal and household health and insect control products; live fishes; and products for fish, reptiles, and other aquarium-based pets comprising aquariums, furniture and lighting fixtures, pumps, filters, water conditioners, food and supplements, and information and knowledge resources; and products for horses and livestock. This segment sells its products to independent pet distributors, retail chains, grocery stores, mass merchants, and bookstores under the Adams, Aqueon, Avoderm, Cadet, Farnam, Four Paws, Kaytee, K&H Pet Products, Nylabone, Pinnacle, TFH, Zilla, Altosid, Comfort Zone, Coralife, Interpet, Kent Marine, Pet Select, and Zodiac brands.

The Garden segment provides grass seed; wild bird feed, bird feeders, bird houses, and other birding accessories; weed, grass, and other herbicides, as well as insecticide and pesticide products; fertilizers; and decorative outdoor lifestyle products that include pottery, trellises, and other wood products, as well as live plants. 

Shares have fallen through all the support levels following the company's latest quarterly report. Central Garden reported 1st Quarter December 2018 earnings of $0.03 per share on revenue of $462.0 million. The consensus earnings estimate was $0.09 per share on revenue of $482.7 million. The company said it continues to expect fiscal 2019 earnings of $1.80 per share or higher. The current consensus earnings estimate is $1.85 per share for the year ending September 30, 2019. Lower share prices are expected for this stock.

 

Last Trade: $25.53

Trading Range: $25.07 - $45.02

Trade

  • Buy 1 May $25.00 Put at $0.50
  • For a net debit of $0.50

Profit/Loss Analysis

  • Breakeven at $24.50
  • Maximum profit is unbounded
  • Maximum loss is ($50.00) at strike of $25.00

Closing Summary

  • Sold 1 May $25.00 Put at $0.00

Position closed on 5/18/2019 at price of $0.00 with a -100.00% loss in 47 days.

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