ZM has been on a steep downward trend since stay at home began to lift last year. Now its nearing the IPO stock price with 10x the revenue. We all know it can go lower but perhaps at these prices your considering a position based on its new lines of business and cash stock pile that is ripe for acquisitions. So let's look at a play that can provide a buffer down to pre the IPO price with a fixed 24% yield (30% annualized yield) unless ZM falls more than 24% to below $65.27. Where we can only start to lose if ZM falls by more than 29% to below $60.94 as of 06/16/2023.
Required Capital: $8470.94
Order
Buy 4 $55 puts
Sell 5 $65 puts
Exp 6/16/23
Limit price: $16.65
Required Capital: $8470.94
Order
Buy 4 $55 puts
Sell 5 $65 puts
Exp 6/16/23
Limit price: $16.65