Call Options on SDC on 2/3/2020

SmileDirectClub, Inc. (SDC) operates a teledentistry platform that provides member's with a customized clear aligner therapy treatment in the United States and internationally.

The company manages the end-to-end process, which include marketing, aligner manufacturing, fulfillment, treatment by a doctor, and monitoring through completion of their treatment proprietary with a network of approximately 250 affiliated dentists and orthodontists through its teledentistry platform, SmileCheck.

It offers aligners, impression kits, whitening gels, and retainers. Shares have formed a bullish "flag" and are expected to head higher from this formation.

On November 12th, Smiledirectclub reported a 3rd Quarter September 2019 loss of $0.89 per share on revenue of $180.2 million. The consensus estimate was a loss of $0.99 per share.

The company said it expects 2019 revenue of $750.0 million to $755.0 million. The current consensus estimate is revenue of $746.5 million for the year ending December 31, 2019. The Company reports its quarterly results on February 11th. 

We will be trading February 21st Call options

Entry Point: $13.30

Trading Range: $7.56 to $21.10

Trade Buy 1 February $13.00 Call at $1.25 For a net debit of $1.25 Profit/Loss Analysis Breakeven at $14.25 Maximum profit is unbounded Maximum loss is ($125.00) at strike of $13.00 Closing Summary Sold 1 February $13.00 Call at $0.00

Position closed on 2/21/2020 at price of $0.00 with a -100.00% loss in 18 days.

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