Put Options on DAR on 5/28/2019

Darling Ingredients Inc. (DAR) develops, produces, and sells natural ingredients from edible and inedible bio-nutrients.

The company operates through three segments: Feed Ingredients, Food Ingredients, and Fuel Ingredients.

It offers a range of ingredients and customized specialty solutions for customers in the pharmaceutical, food, pet food, feed, industrial, fuel, bioenergy, and fertilizer industries.

The company collects and transforms various animal by-product streams into useable and specialty ingredients, such as collagen, edible fats, feed-grade fats, animal proteins and meals, plasma, pet food ingredients, organic fertilizers, yellow grease, fuel feedstock, green energy, natural casings, and hides. 

Shares have fallen following the company's latest quarterly report on May 8th. Darling International (DAR) reported 1st Quarter March 2019 earnings of $0.11 per share on revenue of $835.1 million. The consensus earnings estimate was $0.17 per share on revenue of $866.5 million. Revenue fell 4.6% compared to the same quarter a year ago.

Lower share prices are expected.

Last Trade: $19.26

Trading Range: $17.99 to $22.62

Trade Buy 1 June $20.00 Put at $0.95 For a net debit of $0.95 Profit/Loss Analysis Breakeven at $19.05 Maximum profit is unbounded Maximum loss is ($95.00) at strike of $20.00 Closing Summary Sold 1 June $20.00 Put at $0.00

Position closed on 6/21/2019 at price of $0.00 with a -100.00% loss in 24 days.

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