Sell McDonald’s (NYSE: MCD) Puts for 80% Gain

By Linda McDonough • December 21, 2018

Sell to close the March 15, 2019 put on McDonalds (NYSE: MCD) with a strike price of $175 at $8.50 or higher for an almost 80% gain. Symbol (MCD190315P175)

This put trade suggestion worked out well. Although we still haven’t seen the stock specific news I am looking for, the decline in the market pulled all three restaurant stocks down.

I am suggesting holding on to the Restaurant Brands International (NYSE: QSR) puts as they have an additional month before expiration and should increase in price quickly if the stock drops below the strike price ($50).

If you were lucky enough to not get filled on closing out the Wendy’s Company (NYSE: WEN) February puts earlier this week, they are up even more and I would suggest booking what is now close to a 120% gain.

Please let me know how these trades worked out for you by taking this brief survey.

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Daniel Long

12/21/18 ‐ 9:57am ET December 21, 2018 at 9:57am ET

MCD BTO 4.77
STC 7.50 12/21/18
Net 2.73 = 57%
Thanks, Linda. Nice to get a gain from the stock market for a change.
DL

Atlanta Jim

12/21/18 ‐ 10:24am ET December 21, 2018 at 10:24am ET

As a new trader, I don’t own any of the three.

JoeJB

12/21/18 ‐ 12:20pm ET December 21, 2018 at 12:20pm ET

Got a partial fill at $8.50 right about market open. Waiting on the remainder of contracts at the $8.50 premium.

JoeJB

12/21/18 ‐ 4:01pm ET December 21, 2018 at 4:01pm ET

Remainder filled at $8.50. Thanks for alert today and the great gain.

MarkS

12/29/18 ‐ 10:51am ET December 29, 2018 at 10:51am ET

Sold MCD for 117% gain on Dec 21 and WEN for 54% gain on Dec 20.

nice to cash some winners in Dec while I’m getting assigned on my OFI and VT spreads.

thanks,

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About The Author

Linda McDonough

Bio | Archive

Linda McDonough is a veteran hedge fund analyst who loves to break down company financial statements and identify market inefficiencies to uncover big opportunities. She believes in a boots-on-the-ground approach that includes surveying customers, interviewing company executives, or doing whatever it takes to see what others don't.

She's now brought her experience as a hedge fund analyst to subscribers of her Profit Catalyst Alert service. Her system identifies small- and mid-cap stocks that are about to move due to catalytic events that few others can identify...until it's too late. These events often times result in massive gains for her followers.