22nd Century Group Inc (XXII)

[NYOptionsGuy]

Options Update: 22nd Century Group January Expiry

SOURCE: https://www.dailymarijuanaobserver.com/single-post/2017/10/19/XXII-Options-Update-22nd-Century-Group-January-Expiry

Looking at the option chains for 22nd Century Group Inc. (NYSE:XXII), we see that there are options expiring on Friday, January 19th, 2018. As you will see below, there is significant open interest in the $3 strike call options for this expiry date.

Additionally, you'll see substantial open interest in call options expiring in January at the $4 strike. What is most noticeable about the options ladder below is the substantial imbalance in call open interest vs. put open interest.

Anyone long at the current price could consider selling covered calls at the $3 strike to collect $40 in premium per contract, or at the $4 strike to collect $24 in premium (assuming the last prices remain constant). Selling $3 strike covered calls still offers upside of 32¢ per share not including the collected premium.