Trade of the Week: PTON | Investors Alley

Trade of the Week: PTON

January 10, 2023 8:56 am by Jay Soloff

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Although Peloton (PTON) has struggled since the pandemic, the embattled exercise company may have some bullish prospects in the coming months. A massive diagonal call spread traded last week in PTON options, which looks to be moderately bullish on the stock for 2023-2024 (and possibly into 2025). A diagonal spread is a combination of a vertical spread (different strikes) and horizontal spread (different months), and can be used for both directional and volatility trading strategies.

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