From Nasdaq: 2025-04-03 12:21:00

Investors in Alibaba Group Holding Ltd (BABA) can now trade new options for the May 23rd expiration. A put contract at $125.00 strike price has a bid of $6.60, offering a 4% discount to the current stock price. The call contract at $138.00 strike price has a bid of $5.30, representing a 6% premium.

Selling the put contract could result in a 5.28% return, while a covered call at the $138.00 strike could yield a 10.15% return if the stock gets called away at expiration. Analytical data suggests a 60% chance of the put contract expiring worthless and a 62% chance for the call contract.

Implied volatility is at 47% for the put contract and 49% for the call contract. Actual trailing twelve month volatility is calculated at 43%. For more options contract ideas, visit StockOptionsChannel.com.



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