Kroger Co (KR) Selling Puts
Optimistic options players appear to be building up short interest in September contract put options on the supermarket operator today with shares of the underlying stock increasing as much as 1.2% to an intraday high of $21.28.
- Investors looked to the September $20 strike to sell approximately 9,500 puts for an average premium of $0.30 apiece
- Put sellers keep the full premium received on the transaction as long as Kroger's shares exceed $20.00 through expiration day in September
One of the popular ways is to sell PUTS that one expects to expire worthless because the stock will never move down to the level to the PUTS being sold.
Now, no one can guarantee this, but if the research is done the right way, then this is a good way to make money. KR is definitely moving upward and steadily moving up too! All the indicators are bullish as well as the stock. We expect the PUT options to expire worthless and the seller to keep the credit from the sale.