Expedia (EXPE) shares popped this morning after the company delivered better-than-expected quarterly results amid a strong rebound in travel. Revenue was up more than 50% year over year to $3.18 billion. And adjusted earnings per share of $1.96 easily beat the $1.56 a share analysts were expecting.
I am recommending another spread to reduce our net debit on the position. However, you can enter today’s trade even if you were not in the previous one. Just be aware that we will be managing and tracking it based on the ongoing position.
If you are new to spread trading, please watch my Bull Put Spread Coaching Session before entering the trade.
Current Stock Price: $103.65
Net Debit: $5.15
- Sell to open the EXPE Aug Monthly (8/19) 90 Put for around $0.64
- Buy to open the EXPE Aug Monthly (8/19) 85 Put for around $0.29
- Set initial credit limit at $0.35, but adjust as needed
New Net Debit: $4.80