Put Options on VSCO on 6/13/2022

Victoria's Secret & Co. (VSCO) operates as a specialty retailer of women's intimate, personal care, and beauty products worldwide. 

The company offers bras, panties, lingerie, sleepwear, loungewear, and athletic attire and swimwear, as well as fragrances and body care products, and accessories under the Victoria's Secret and PINK brands. As of March 2, 2022, it operated approximately 1,400 retail stores. 

Shares have broken below a support level after the company's latest quarterly report. On May 31st, it reported 1st Quarter April 2022 earnings of $1.11 per share on revenue of $1.5 billion. The consensus earnings estimate was $0.85 per share on revenue of $1.5 billion.

The company warned it expects second quarter earnings of $0.95 to $1.25 per share on revenue of $1.57 billion to $1.66 billion. The current consensus earnings estimate is $1.18 per share on revenue of $1.59 billion for the quarter ending July 31, 2022.

Lower share prices are expected for this stock.

We will be trading July 15th Put option

Last Trade: $35.61

Trading Range: $35.42 to $76.00

Trade Buy 1 July $35.00 Put at $2.50 For a net debit of $2.50 Profit/Loss Analysis Breakeven at $32.50 Maximum profit is unbounded Maximum loss is ($250.00) at strike of $35.00 Closing Summary Sold 1 July $35.00 Put at $7.00

Position closed on 7/7/2022 at price of $7.00 with a 180.00% gain in 24 days.

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