JP Morgan Chase & Co. (JPM) is scheduled to release earnings on January 15, 2019, before the market opens, and will hold a conference call at 8:30 AM ET on the same day. The stock currently trades at 93.56, which is 12.5% lower than the close following its last reported earnings, trading with a range of 92.80 to 112.93 since that time.
Expected Price Volatility
Currently, option traders are expecting a ± 8.1% move for this earnings, and during the previous earnings release, the stock experienced a -1.1% move. Over the last 12 quarters, the absolute average move has been ± 1.4%, with a minimum move of 0.3% and a maximum move of 4.2%. JPM has only experienced 2 larger-than-expected earnings moves in the last 12 quarters.
Earnings Price Pattern
Earnings Opening Gap:For 11 of the last 12 quarters (92%), JPM stock price has gapped open with significant gains, on average opening up +0.9%.
1 Week After Earnings:For each of the last 5 quarters, the stock price has gone up in the week following earnings. Over that period, it has an average gain of +1.8%.
Earnings Option Strategies
MarketChameleon's option strategy analysis
shows that selling out-of-the-money puts the day before earnings had 91%
winning occurrences, for an average gain of +80.9%
. Additionally, selling at-the-money straddles resulted in 82%
winning occurrences, for an average return of +39.5%
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Note: selling options can result in losses of greater than 100%. Average returns from selling options is calculated based on net change in value against the initial theoretical option value. Prior to buying or selling an option, you should read the Options Clearing Corporation's Characteristics and Risks of Options