Put Options on PFE on 9/18/2023

Pfizer Inc. (PFE) is a research-based, global biopharmaceutical company. 

The company boasts a sustainable pipeline with multiple late-stage programs that can drive growth. Pfizer markets a wide range of drugs and vaccines.

Its business comprises six business units - Oncology, Inflammation & Immunology, Rare Disease, Hospital, Vaccines and Internal Medicine. Pfizer spinned-off its Upjohn unit, its off-patent branded and generic established medicines business, and combined it with generic drugmaker Mylan to create a new generic pharmaceutical company called Viatris.

Shares have formed a bearish flag as government's price control kicks in on some of Pfizer's major drugs. On August 1st, PFE reported earnings of $0.67 per share on revenue of $12.73 billion for the second quarter ended June 2023. The consensus earnings estimate was $0.56 per share on revenue of $13.63 billion.  The company beat expectations by 1.52% while revenue fell 54.10% compared to the same quarter a year ago.

The company said it continues to expect 2023 non-GAAP earnings of $3.25 to $3.45 per share but now expects revenue of $67.0 billion to $70.0 billion. The company's previous guidance was revenue of $67.0 billion to $71.0 billion.

We will be trading October 20th Put Options!

Last Trade: $34.07

Trading Range: $33.54 to $54.93

Trade Buy 1 October $35.00 Put at $1.25 For a net debit of $1.25 Profit/Loss Analysis Breakeven at $33.75 Maximum profit is unbounded Maximum loss is ($125.00) at strike of $35.00 Closing Summary Sold 1 October $35.00 Put at $2.15

Position closed on 10/11/2023 at price of $2.15 with a 72.00% gain in 23 days.

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