Domino’s Pizza Inc stock (DPZ) remains undervalued with a FCF-based price target of $498.00. Shorting the $400.00 put has been successful, with a possible rollover trade. DPZ is at $404.54 today, up in a down market. The investor can secure profits by buying back the short-put trade and entering a new cash-secured short-put trade.

A new 1-month rollover short-put trade on DPZ offers a yield of 1.667%. Despite low risk of assignment, the breakeven point is $383.50. Potential alternatives include holding the shares for long-term profit, selling covered calls, or repeating short-put trades. DPZ stock is still undervalued, making shorting OTM puts a good play.

Investor can make profits through short-put trades on DPZ stock with potential upside of almost 30%. Mitigating strategies include selling covered calls, holding shares for long-term profit, or repeating short-put trades. DPZ stock remains undervalued, offering opportunities for profitable trading strategies.

Read more at Barchart: Domino’s Pizza Stock is Undervalued Here