Trade Alert: Out of RDW Puts for a 80% Gain

Exiting ahead of earnings.

Portfolio Armor

Mar 28, 2023

Pixabay/Pexels

A Stock Hyped By TikTok

In a trade alert last month, I mentioned placing a bearish bet on Redwire Corporation (RDW):

The new bearish position is in Redwire Corporation (RDW), which I wrote about earlier today.
The Portfolio Armor Substack
A New Catalyst For Meme Stocks?
Pixabay/Pexels The New Wall Street Bets In yesterday’s Trade Alert, I linked to a meme stock tracker, which based its list on how many memes about each stock were listed on the r/WallStreetBets Reddit forum (its current leader is Tesla, Inc. (TSLA), with 48 memes). One stock that’s not on there as I type this (the list is continually updated) is the “spac…
Read more
7 months ago · Portfolio Armor
That’s the stock with the weak fundamentals that spiked ~50% yesterday because of a TikTok video. I bought the $4 strike puts on it expiring in May for $0.75.

The stock is trading at $2.69 as I type this. There’s a good chance it drops further after it posts earnings tomorrow, but to be on the safe side I took profits just now, selling those puts at $1.35 for an 80% gain.