How This Investor Is Using Options To Supplement His Moderna Position

Moderna Inc (NASDAQ: MRNA) is easily the best performing stock in the S&P 500 this year.

Short Hills Capital's Steve Weiss is collecting premium against his long position using options, he said Monday on CNBC's "Fast Money Halftime Report."

Weiss said Moderna is the largest position in his portfolio.

See Also: Moderna Withdraws Additional COVID-19 Shots In Japan: What You Need To Know

When the premium gets cheap, he looks to buy protection using puts. When the premium on options contracts gets too high, he looks to sell calls.

"I'm short the $440 calls and I'm short the $420 calls because the premium in this stock just gets ridiculously high," Weiss said.

Those calls are set to expire at the end of the week, Weiss noted.

He's still committed to the stock long-term and he expects the share price to increase dramatically over time.

"Moderna I'm still committed to. I still think the stock goes up multiples from here over time," Weiss said. "It's a technology company - it' not a biotech company - with a superior mRNA technology, period."

MRNA Price Action: Moderna has traded as high as $497.49 and as low as $376.81 over a 52-week period.

The stock was down 1.44% at $376.71 at time of publication.