Quantcha now offering unlimited commission-free options trading. Quantchabot has detected a promising Covered Put trade opportunity for SERVICE CORPORATION (SCI) for the 17-Jul-2020 expiration period. You can analyze the opportunity in depth over at the Quantcha Options Search Engine. SCI was recently trading at $34.46 and has an implied volatility of 52.93% for this period. Based on an analysis of the options available for SCI expiring on 17-Jul-2020, there is a 34.14% likelihood that the underlying will close within the analyzed range of $27.60-$34.47 at expiration. In this scenario, the average linear return for the trade would be 21.47%. 52 week low: SERVICE CORPORATION recently reached a new 52-week low at $33.93. SCI had traded in the range $34.37-$52.89 over the past year. Trade approach: Reaching a new 52-week low is a bearish indicator, so this trade is designed to be profitable if SCI maintains its current direction and does not revert back to pricing on the bullish side of $34.46 on 17-Jul-2020. If possible, the trade has been padded such that slight movement against the trade would still return a profit. Upside potential: Using this bearish strategy, the trade would be profitable if SERVICE CORPORATION closes at or below $35.09 on 17-Jul-2020. Based on our risk-neutral analysis, there is a 53.19% likelihood of this return. Downside risk: As with any options trade, there is a substantial downside risk where you may lose most or all of your investment. To analyze this trade in depth, please visit the Quantcha Options Search Engine.