Analyzing the options chain of WAL Western Alliance Bancorporation prior to the earnings report this week, I would consider purchasing the 40usd strike price Calls with an expiration date of 2023-7-21, for a premium of approximately $2.20. 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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WAL reached $46.83 after earnings, and the calls went from $2.20 (when I wrote this article) to $6.90, resulting in a beautiful 3.10X gain! Congrats to those who held the calls!