Kevin Kelly's JD.Com Options Trade

Kevin Kelly of Benchmark Investments spoke on Bloomberg Markets about a bullish options trade in JD.Com Inc(ADR) (NASDAQ: JD).

He sees the company as the Walmart Inc (NYSE: WMT) of China. To make a bullish bet, Kelly wants to buy the January 2020, 37 strike call for $8.50 and sell the January 2020, 60 strike call for $2.20. The trade would cost him $6.30 and it breaks even at $43.30 or 12.21 percent above the current market price. The maximal profit for the trade is $16.70.