Best Stock on the Market

Put Options on Z on 5/2/2022

Zillow Group, Inc. (Z), a digital real estate company, operates real estate brands on mobile applications and Websites in the United States. Stockwinners

The company operates through three segments: Homes; Internet, Media & Technology; and Mortgages.

The Homes segment is involved in resale of homes; and title and escrow services to home buyers and sellers, including title search procedures for title insurance policies, escrow, and other closing services.

The IMT segment offers premier agent, rentals, and new construction marketplaces, as well as dotloop, display, and other advertising, as well as business software solutions.

The Mortgage segment provides home loans; and marketing products including custom quote and connect services.

Its portfolio of brands includes Zillow Rentals, Trulia, StreetEasy, Zillow Closing Services, HotPads, and Out East.

Shares have dropped to multi-year lows as mortgage prices hit 6% and sale of existing homes softened recently. We expect shares to continue their decline.

 

Last Trade: $39.82

Trading Range: $38.75 to $133.36

Trade

  • Buy 1 May $40.00 Put at $2.75
  • For a net debit of $2.75

Profit/Loss Analysis

  • Breakeven at $37.25
  • Maximum profit is unbounded
  • Maximum loss is ($275.00) at strike of $40.00

Closing Summary

  • Sold 1 May $40.00 Put at $5.50

Position closed on 5/6/2022 at price of $5.50 with a 100.00% gain in 4 days.

Updates

5/6/2022 10:13:59 AM

Zillow $40 put option closed at $5.25

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