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$149 profit in DKS

  • Writer: themoneyloaf
    themoneyloaf
  • Apr 18
  • 2 min read

Updated: May 4

Happy Sunday!

 

It's been a crazy couple of weeks and it almost feels hard to remember a time when tariffs and trade wars didn't dominate every discussion about the stock market. This is the last of the trades that was closed before everything went crazy. 

 

This week:


  1. $149 profit in Dick's Sporting Goods (DKS)


$149 profit in DKS


Just 2 weeks ago, before volatility exploded (can't believe it's been only 2 weeks), DKS looked pretty good for a trade so I sold a cash-secured put at the $170 strike expiring April 17 and received $199 in premium upfront.

 

However, the open interest on the trade was lower than I would have liked, so I entered this as a bonus trade - i.e. a trade that fits most, but not all of my criteria. 

 

This is one of the rare trades that started working in my favor almost immediately, so much so that I decided to increase my profit target on the trade from my usual 50% to 75%. 


dks-option-trade

Thankfully, the trade worked out perfectly, and my profit target got hit the next trading day, and I bought the option back for $50.

 

My total realized profit on the trade was $149 (75% of max profit)

 

It's worth pointing out that I chose to spend that $50 to close the position even though it was clearly working out, instead of leaving on - and for good reason.

 

I don't like giving trades the opportunity to go against me if I can help it, and in fact this option is currently trading at about $260 (an unrealized loss), despite being out of the money, because volatility is inflating premium prices.

 

In fact, by closing the trade, I freed up the capital and have initiated a new trade in DKS at a much lower strike - I hope to share a profitable trade update soon! 

 

DKS has been a pretty good performer in 2025 with $501 in realized profits from 3 trades already, and hopefully a 4th to come. 

 

As always, you can join my private community and receive these same updates in nearly real-time. 



Closing thoughts & useful links


Earnings season kicks off next week (at least for the stocks on my watchlist) and I suspect tariffs and uncertainty are going to dominate the discourse. 

 

I will be doing my best to ignore the noise and look for some opportunities to deploy capital. 


Have a good weekend!


 

 

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This article is for educational purposes only. This is my own portfolio which is being managed according to my goals and risk tolerance. Your situation is likely different and you should do your own due diligence before investing in stocks or options.

Comments

The Money Loaf is my journey towards FIRE (financial independence, retire early), and should be read as information and education, not financial advice. The Money Loaf is not a financial advisor and you should not make any financial decisions without doing your own due dilligence or consulting an advisor if you need to. 

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