AMGN Amgen to buy HZNP Horizon Therapeutics for about $27.8 billion. This huge spend could trigger a selloff in AMGN Amgen stock after earnings.
It`s speculative, but looking at the AMGN Amgen options chain ahead of earnings , I would buy the $240 strike price Puts with 2023-2-17 expiration date for about $2.75 premium. If the options turn out to be profitable Before the earnings release, I would sell at least 50%.
Looking forward to read your opinion about it.
交易结束：到达目标
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Price target reached! AMGN was trading at $236.37 intraday, i suppose those puts made a decent 2X at some point.
Nice trade! I would sell the Mar 17, 232.50 puts at 16 delta because AMGN has an excellent dividend growth track record (annualized 10.14% over 3 years), increasing the dividend for the last 11 years. Indeed, they just increased the dividend from an annual $7.76 to $8.52.