Trade Alert: Top Names

A bullish options bet on our #1 name.

Alpha In Our Top Names

Our weekly top ten names from six months ago crushed the market.

We have 6-month returns for 101 weekly top names cohorts since December of 2022, and on average, they have outperformed SPY 0.00%↑ significantly over the next six months: 16.75% versus 9.77% for SPY.

Our core strategy is to buy shares of our top names, put trailing stops of ~20% on them, and replace them with new top names when we get stopped out. But we can get a shot at higher returns with options trades on our top names. That’s what what we’re aiming for today. The best case scenario for our trade today is a ~300% gain by mid-August; the worst case scenario is a 100% loss. Heads we win 3x, tails we lose x.

Details below.

Today’s Top Names Trade

The stock is ApplLovin ( APP 0.00%↑ ), and our trade is a vertical spread expiring on August 15th, buying the $460 strike calls and selling the $480 strike calls, for a net debit of $5. The max gain on 1 contract is $1,500, the max loss is $500, and the break even is with APP at $465. This trade hasn’t filled yet. This trade filled at $5 on 6/9/2025.

Exiting This Trade

Assuming this trade fills, I’m going to open a GTC order to exit the spread at $19.50, and lower that price, if necessary, as we approach expiration.