litwizard

SELL PUT OPTIONS AT STRIKE 15.00USD (FREQ)

NASDAQ:FREQ   Frequency Therapeutics, Inc
Budget 10,000USD
Stocks covered: 666
No leverage.
Received premium: 666USD
Profit per day: 24,66 USD
Pace at 90,03% p.a.


Risk: this is up to you, you can close the position when you reach your max. desired loss. Its good to use discretionary approach and manage the risk from day to day. If the price will not fall rapidly than time is our friend and the profit will accumulate. Stay ready to take action on 1st April when the earnings are announced. If they worse than expected its good to liquidate at least some of the positon or to buy some calls around strike 7.50USD - 10USD. I will provide updates of what I am doing...

Fundamentals:

"Frequency Therapeutics is a clinical-stage biotechnology company developing a disease-modifying therapy for the treatment of sensorineural hearing loss (SNHL), the most common type of hearing loss. There are no FDA-approved medicines for SNHL yet.

In a phase I/II study, FX-322 demonstrated a statistically significant and clinically meaningful improvement in key measures of hearing loss, including clarity of sound and word recognition, with no serious adverse events observed, according to the Company.

Frequency Therapeutics has an exclusive license agreement with Astellas Pharma Inc. , under which Astellas is responsible for the development and commercialization of FX-322 outside of the U.S. The deal, signed last July, is worth $625 million, including the $80 million upfront payment received by Frequency Therapeutics ." (source: nasdaq.com)

Frequency Therapeutics . could not make a profit so far and none of their products is approved by FDA, but since they got some statistically significant results I am confident that it´s the matter of time when they start pulling some real sales and hopefully also profits. Because of this I am confident that more than 56% drop within 27 days will not happen and the option will expire worthless.




Trade active: I opened this trade with premium 1.15/stock, received 766USD
Comment: alright this one seems to be the worst option idea on the whole tradingview...

nothing I can do now,.. I will give it some thime and hope for positive results with FX-322
Trade active: nice upmove today, we are just 0,75usd from break-even point wich is amazing after this crazy drop