ultimately, when the company was shut down because of his fraud, and because of his lack of financial wherewithal, these policyholders were left without an insurance policy. -- captions by vitac --

good luck. td ameritrade, this is anna. hi anna, this position is all over the place, help! hey professor, subscriptions are down but that's only an estimated 15% of their valuation. do you think the market is overreacting? how'd you know that?

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it's an entire trading experience. with innovation that lets you customize interfaces, charts and orders to your style of trading. personalized education to expand your perspective. and a dedicated trade desk of expert-level support. that will push you to be even better. and just might change how you trade—forever. because once you experience thinkorswim® by td ameritrade ♪♪♪ there's no going back. welcome back to "options action," raytheon technologies underffrm performing, down more than 2%. you know what they say, the best offense is a good defense. kelly intelligence ceo kevin kelly joins us now to lay out a trade on the name. >> melissa, that's right raytheon is down 2%. the number one constituent is up 5.5% not participating with its sector that provides a unique and

interesting opportunity. we believe, given the fact that there's secular tail winds for raytheon, 60% of its business is defense. and what we've seen even recently is that there's been a recent contract to sell 619 # million dollars worth of weapons to have taiwan and raytheon is providing the missiles, emblematic of their defense wiz biz. the eu is increasing the defense budget over the next three years, japan is increasing their defense spending by 26%. but the kicker for the stock is actually its commercial side of the business, which is starting to recover we know the commercial space is seeing supply chain improvements, as well as a lot of the airlines are needing more parts and aftermarket services so raytheon has this kicker for its earning per share with the commercial business coming back

to be better than pre-pandemic levels so the nice part about it is it's a free cash flow machine, very good for investors, because they'll probably increase their dividend, which is already indicative of about 2.4%, as well as do some share buybacks what's interesting about the stock, given the fact it's underperformed the sector, and number one constituent in the xli, go out and buy the stock today, around $99. and then what you want to do, is you want to sell a call against it, let time be on your side and go out to may. and you can sell that may 19th, 2023 105 call for about $1.65. you're going to get the dividend payments, and get this nice options premium of just under 1.8% and then you can let the decay happen, and let the stock try to rebound that total of 8% that

it's been underperforming, the entire sector. now, why we chose the may strike at 105 is because that's the highest open interest for the stock. >> all right, kevin, thanks. kevin kelly. mike, what's your take on the trade? >> yeah, i think we're getting to the upper end of the valuation for this thing, war in europe, tensions in asia, we are looking at topline growth, i do like the name, but i do also believe that the upside is probably a little bit limited. so i think the trade is a good one. >> carter? >> so interestingly while the stock is underperforming the industrial sector of which it's the largest weight at 5% it's the largest constituent in the aerospace subindustry group a part of the overall industrial at 20% and it's relative performance to the aerospace group is relative high, true bifurcation, a lagger within an entire sector but a leader within its subsector and that's a good set-up.

up next, your tweets and the the internet is >> announcer: "options action" is sponsored by thinkorswim, by td ameritrade. dogs? you should be listening to me. you want to be rich like me? you want to trust me on this one. [inaudible] wow! yeah! it's time to take control of your investing education. cut through the noise with best-in-class education resources that match your preferred style of learning. learn your way. not theirs. td ameritrade. where smart investors get smarter℠.

welcome back to "options action," we've got time for a tweet, one "options action" fan asks, can you recommend how to play american express? it has run up a lot. looking to play bearish bet. brian, what do you think >> yeah, this stock has run a lot, and earnings are april 21st, which happens to be, as i looked at it, the friday of expiration so if i'm going to buy a put play to the short side, i like the 170 strike probably going to use an option after the april 21st date in case the earnings date moves that's expected earnings, not concrete just yet. that can affect option prices. i can play a little bit longer, maybe a may option or something like that to the downside in the april and beyond 170 strike put i'm a buyer. >> all right, let's get to the final call now carter, brackton worth. >> two big health care names so bad they're good, j&j playing for a bounce, pfizer as well.

>> brian stutland. >> owens corning, lots of premium, sell put to the downside, 95 strike in august. >> dr. khouw. >> hedging with put spreads like those we saw earlier this week. >> that does it for us stay tuned, though, cnbc special taking stock starts right now. ♪ - [narrator] this is a paid advertisement for csn. (inspiring music) - you know, one of the great things about being here is knowing that, you know, we have, a lot of you join us every single week, and i thank each and every one of you, and for those of you that do join us every week, as you watch the show, you would assume that the number one best-selling thing that we have is, of course, american silver eagles. and that's to some degree, true. but, in all honesty, by sheer volume of coins,