LinkedIn (LNKD) Earning Play

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  • Earning Release: May 1 AMC (Thursday).
  • Objective: Directionless. Sell IV.
  • Last Closing Price = 153.47
  • IV Percentile = 88.5%
  • IV = 0.6297
  • Floor IV = 0.39
  • Option Strategy:
    • Iron Condor: LNKD Aug14 105/115/175/185
    • Iron Condor: LNKD June14 105/115/175/185
  • Note:
    • Factor in 10% Gap up and Gap Down
    • Slight Bearish bias as LNKD chart is bearish
    • Sell in May Month
    • Fundamentally super over value, PE = 807!!

Original Post by Marubozu @ My Stocks Investing Journey.

 

LNKD Fundamental

LNKD Fundamental May1-2014

LNKD Earning

LNKD Earning Estimate May1-2014

LNKD IV Chart

LNKD IV Chart May1-2014

LNKD IV Risk Profile

LNKD Iron Condor May1-2014 Risk Profile

LNKD Option Chain (June 2014) with slippage = 0.16 to 0.32

LNKD May1-2014 Option Chain Spread (June)

LNKD Option Chain (August 2014) with slippage = 0.2 to 0.25

LNKD May1-2014 Option Chain Spread (August)

Continue ReadingLinkedIn (LNKD) Earning Play

LinkedIn (LNKD) Iron Condor Earning Trade

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Chart from thinkorswim, get FREE chart here.

Original post by Marubozu from My Stocks Investing Journey.

 

Strategy:

  • High IV before the earning.
  • Sell Vega by opening Iron Condor (195/200/230/235) one day before the earning release.
  • Close Iron Condor position after the earning release and volatility crush.

Trade Summary

  • Gross Profit = $100
  • Net Profit = $80 ($20 commission)
  • ROI (Net) = 23%
  • Duration = 1 day

LNKD Feb7-2014 Order Record

LNKD Chart

LNKD Feb7-2014 LNKD Iron Condor Feb7-2014 (Earning IV Trade)

 

LNKD Fundamental

LNKD Fundamental Feb7-2014

Continue ReadingLinkedIn (LNKD) Iron Condor Earning Trade