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Loews Corp. Options Trading Offers Covered Call Potential

Loews Corp. starts new options trading, offering a 2.53% return. Investors eye potential upsides as the May 16 call contract shows promise amidst volatility.

Date: 
AI Rating:   7

Following the report, several points stand out regarding Loews Corp. (Symbol: L) options trading. **Covered Calls Analysis** indicates significant investor interest, particularly with the new call contract at a $90.00 strike price. This comes into play as the stock currently trades at $87.83, offering a premium potential of up to 2.53% if exercised.

The calculated return suggests that investors could retain their holdings while still capturing earnings from the option premium. The odds of the option expiring worthless sit at 57%, allowing for additional gains while maintaining stock ownership.

The report details **implied volatility** at 19%, with actual trailing volatility at 18%. This aligns closely, suggesting a stable market perception with consistent historical performance.