Sanderson Farms, Inc. (NASDAQ: SAFM). January. Short. +11.64% On Invested Capital.
Seeking Alpha Analyst Since 2019
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Summary
- Investors are very fond of the result.
- I propose to calculate the potential profit for January.
- The forecast were printed on January 03, 2021.
January 12
Short
Volume position 1000 shares.
Position opening: $ 132.30.
$ 132.30 x 1000 shares = $ 132,300. This is the invested capital.
Stop Loss: $ 133.60
January 13
On my strategy at the price of $ 126.30, 50% of the position was closed.
$ 132.30 x 1000 shares = $ 132,300
$ 126.30 x 1000 shares = $ 126,300
$ 132,300 - $ 126,300 = $ 6,000. This is 4.53% on invested capital.
We continue to hold the position.
$ 132.30 x 500 shares = $ 66,150
January 20
Closing position January 12
$ 132.30 x 500 shares = $ 66,150
$ 132.00 x 500 shares = $ 66,000
$ 66,150 - $ 66,000 = $ 150. This is 0.22% on invested capital.
January 27
Short
Volume position 1000 shares.
Position opening: $ 145.00.
$ 145.00 x 1000 shares = $ 145,000. This is the invested capital.
Stop Loss: $ 146.60
January 29
Closing position January 27
$ 145.00 x 1000 shares = $ 145,000
$ 135.00 x 1000 shares = $ 135,000
$ 145,000 - $ 135,000 = $ 10,000. This is 6.89% on invested capital.
Profit for January.
$ 6,000 + $ 150 + $ 10,000 = $ 16,150
4.53% + 0.22% + 6.89% = 11.64%
By the way. The position volume could be increased 2 times. This is for this ticker.
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