Despite Impressive Results, Nvidia Stock May Be Stuck in a Range Whats the Best Play?
News Source : Barchart.com
News Summary
- NVDA may be stuck in a trading range, despite analysts' higher price targets.
- As a result, shorting out-of-the-money (OTM) puts might be the best play here.
- I discussed shorting NVDA cash-secured puts a week ago in the Aug.
- 23 Barchart article, “ Nvidia Stock Is Treading Water Ahead of Earnings This Week - What's the Best NVDA Play?
- ” At the time, NVDA was at $214.72.
- I showed that investors could earn $4.48 shorting the $200.00 strike put expiring Sept.
- That works out to a 2.24% one-month yield.
Nvidia, Inc. (NVDA) produced impressive fiscal Q2 revenue and earnings, but its free cash flow (FCF) and FCF margins were lower than in Q1.
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