Analyzing the options chain and the chart patterns of KMX CarMax prior to the earnings report this week, I would consider purchasing the 79usd strike price in the money Puts with an expiration date of 2023-9-29, for a premium of approximately $4.00. If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
Trade closed: target reached
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KMX traded at $68.81 at expiration, and the Puts went up from $4.00 (when I wrote this article) to $10.20, for a 2.5X gain!