Did you catch this week’s Cerner buyout options play?
I know it’s the giving season and all, but if I continue to give away trade ideas like this, I may have to start charging for admission.
I kid, I kid!
But seriously, I hope you’ve been keeping up with the Blitz Daily — that’s where four days a week, I give you the short list of my top options orders of the day.
Like we saw in Friday’s piece, my Weekly Blitz Alerts strategy booked a 50% return on Monday’s Foot Locker Inc. (NYSE: FL) option flow, while Blockbuster Breakout Calendar turned 100% on Wednesday’s Pfizer Inc. (NYSE: PFE) calls — overnight!
Not all of these trades are going to be winners, of course, but those two weren’t the only ones that gave us an opportunity to score outsized gains…
Because there’s one trade from Wednesday’s Blitz Daily list that I didn’t take, and I’m kicking myself for it right now…
Because if I did, I’d have closed my Cerner buyout options play and left for a warm beach, popping some champagne for the start of a prolonged vacation…
Cerner Buyout Options Play: The Holidays Come Early for the Blitz Daily
This has been a roller coaster year for Cerner Corp. (Nasdaq: CERN). If you’re unfamiliar with the name, CERN is a leading provider of healthcare information technology (HCIT) solutions and tech services.
The firm hit record highs in late January but was one of the many casualties of the first-quarter COVID-19 tech stock sell-off… And a disappointing fourth-quarter earnings report didn’t help…
Shares fell nearly 20% in a month before rebounding mid-year on rumors of Cerner being a prime buyout target for a major cloud company, leading to some speculative options plays.
The rumors — and the stock price — cooled off in August after the appointment of new President and CEO David Feinberg. But bullish activity is picking up again…
Late Thursday, The Wall Street Journal reported that Oracle Corp. (NYSE: ORCL) is in talks to acquire the HCIT giant for $30 billion.
While the news has cratered shares of Oracle, it sent the beaten-up Cerner stock ripping about 14% overnight, and those $0.40 calls from Wednesday hit as high as $8.40 in Friday’s session!
Check out my quick video below and let’s talk about our Cerner buyout options play. And if any of you reading this took this trade, please let us know… because I want your autograph!
Don’t forget you can follow me @LanceIppolito on Twitter, Instagram and our YouTube channel for more trading insights and tips. And as always, you can find me right here talking stocks and options trading — and printing money — on WealthPress.com!
P.S. I call them “Overnighters…” And in the past couple of months, I’ve pegged returns of 76%, 100%, 109%, 254% and even a rare 925% return — yes, all overnight! And there are plenty more catalyst events coming up… Ready to learn how I do it? Check out my secret strategy for FREE!