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u/imacompnerd 2 days ago Gain

Over $1,000,000 in realized gains with RDDT options YTD

It's been a hell of a year for RDDT options. The gains are a mix of mostly selling options (both puts and covered calls), and some swing trades via long calls. The IV has come down considerably vs earlier in the year, but it's been a great stock to sell options on! It's been helped since RDDT's fundamentals keep improving, which has given me conviction to sell as many options as I have been. Note that some of the lots that show large numbers of contracts could have been spread out and not done all at once. Here's an example of a good one for next year that I've loaded up a good amount on; the Jan 2028 $135 puts. I sold 110 @ $32.96 each for total premiums of $362,526. They're already $56,000 in my favor. Screenshot: https://imgur.com/a/xOOkte9 And here's my current RDDT positions since I think it's set to have a great upcoming year: https://imgur.com/a/4jlQTBe Note that I still haven't sold a single share of RDDT; ever. All the realized income thus far has been from options. Open to discuss
10 comments held Reddit says 1 on reddit ↗
  1. u/BeautifulAsleep7229 1 2 days ago
    that is some crazy premium for the 2028 puts, you have balls of steel holding through all that
  2. u/imacompnerd OP 1 2 days ago
    It's easier to have balls of steel when RDDT's been growing at 60% YoY. The stock price has not properly reflected the performance of the company itself. It's just a matter of time until RDDT really spikes (in my opinion).
  3. u/pain474 1 2 days ago
    All of that plus the risk for 20% gains
  4. u/NickyTShredsPow 1 2 days ago
    My thoughts exactly. This guy must fucking love RDDT lol
  5. u/mikehansen83 1 2 days ago
    He’s a value investor generating cash to buy stocks he likes at prices he loves. I’m not sure how this isn’t taught in every high school. It’s one of the only ways to do it imo - so intuitive & obvious. If RDDT finishes ITM at a cheap price, he wins. Eventually Mister Market (c) recognizes the value mis-pricing and corrects, which is his win (sell when price recovers). If RDDT finishes OTM, he wins (keeps premium).
  6. u/imacompnerd OP 1 2 days ago
    You explained it exceptionally well!
  7. u/imacompnerd OP 1 2 days ago
    The risk is inherent to what r/thetagang is about. We try to pick stocks that we believe in and that pay a good premium. The $135's are decently OTM, and with the premium, the break even is almost down to $100 a share. I'll gladly take a 20% return (plus earn 3.5% on those premiums in a HYSA) with that type of risk profile. That’s how I’ve outperformed the S&P 500 by an average of 13 percentage points each year for the past five years.
  8. u/BriackYOLO 1 2 days ago
    That’s crazy! Congrats
  9. u/FantasticHedgehog701 1 2 days ago
    You motivated me to take a position and start selling options on RDDT. It’s been mostly covered calls and swing trades so far. RDDT has become the top performer in my port! See if these 10/9 $160 cc’s get assigned away today and if so maybe do it again 😅
  10. u/imacompnerd OP 1 2 days ago
    Great plan! I think RDDT is a great long term stock to hold, so I'm very cautious to sell covered calls, but I absolutely understand why others sell them. I have sold some, but I do it very rarely, and usually extremely far OTM.