Option Trading Idea: Calls on Toro (TTC)
07/12/2010 11:27 am EST
The Fourth of July is a great time for a backyard barbeque, but before the family gathers, Dad will want his lawn looking its best. To get the job done like a pro, he’ll need his new Toro Company (TTC) riding mower. Toro is the leading maker of both professional turf and residential yard and snow removal equipment.
S&P just raised its opinion on the stock to a “buy” from a “hold” with a 12-month target of $57. Technically, despite the general market selloff, TTC is above its 200-day moving average and is oversold with a trading target of $55.
One option trading idea: Buy the TTC September 50 calls (TTC 100918C00050000) at $3 or lower with a target of $6.By Sam Collins of OptionsZone.com