Back to top

Image: Bigstock

Bartosiak???s Best Options Trade for Palo Alto Earnings

Read MoreHide Full Article

On Monday November 21st, Palo Alto Networks (PANW - Free Report) will release its third quarter earnings results after the bell. The company is a Zacks Rank 3 (Hold), and have a Value, Growth, and Momentum score of C.

Earlier today, Dave Bartosiak gave us two different strategies to play Palo Alto Network's earnings. As usual, he gives a bearish scenario and a bullish scenario, then offers up his opinion on which he believes has the greatest likelihood of success.

His bullish trade idea was going long on the January 20th $160/175 Call Spread for a Net Debit $6.65.

The trade could make 125% if shares of PANW close above $175 at expiration on January 20th. The max loss is below $160, and break even at $166.65.

His bearish trade idea was going long on January 20th $160/150 Put Spread for a Net Debit of $6.15.

The trade could make 145% if shares of PANW close below $150 at experiation on January 20th. The max loss is above $165, and break even at $158.90.

To find out which trade Dave thought had the best chance of winning, check out his video analysis above.

Palo Alto Networks in Focus

Palo Alto Networks, Inc. offers a network security platform that allows enterprises, service providers, and government entities to secure their networks. The core of its platform is the Company's firewall that delivers natively integrated application, user, and content visibility and control through its operating system, hardware, and software architecture. It serves the enterprise network security market, which consists of Firewall, Unified Threat Management, Web Gateway, Intrusion Detection and Prevention, and Virtual Private Network technologies. Palo Alto Networks, Inc. is headquartered in Santa Clara, California.

Palo Alto Networks is expected to report earnings at -$0.27 a share according to the Zacks Consensus Estimate. Last quarter they missed earnings expectations by -112.50% at -$0.51 per share, beating estimates of $0.05 a share. They have an average earnings surprise of -189.91%.

Bottom Line

How should investors play Salesforce ahead of their earnings report? For future insights on the best options trades, then tune into Zacks Live Trader to see David's thoughts.

Confidential from Zacks

Would you like to access Zacks' 2 best trades that are not available to the public? Zacks Executive VP, Steve Reitmeister knows which of our experts has the hottest hand and when key trades are about to be triggered. Today he is prepared to pass the Best of Our Best along to you. See these timely buys now >>


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Palo Alto Networks, Inc. (PANW) - free report >>