Tony Zhang’s bullish options play on Apple (video)

“I don’t think Apple’s business has ever been stronger here.”

From “Tony Zhang goes AAPL piking” on CNBC, posted Friday on Twitter by @OptionsAction:

My take: He’s recommending selling a cash-secured put to buy the stock at a discount. That’s okay if you’ve got plenty of cash, know what you’re doing, and don’t mind worrying that you’ve done it wrong. There are easier ways to acquire Apple.

3 Comments

  1. Gregg Thurman said:
    Hope they’re correct. I’ve been waiting for Mr. Market to recognize the enormity of Apple’s December quarter results and future potential since JAN earnings.

    1
    February 28, 2021
  2. Fred Stein said:
    I like the way Tony thinks.

    The risk is actually much lower. Even if AAPL went to $110 at the maturity of his put, one could buy back the put and sell another put a few months forward to re-coup the paper loss. Of course buying AAPL at $115 is fine as well.

    0
    March 1, 2021

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