BURL Options Analysis: $300 Put Contract Shows Significant Appeal
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 22 2026
0mins
Source: NASDAQ.COM
- Put Option Appeal: The current bid for the $300.00 put option is $13.50, and if an investor sells this contract, they commit to buying the stock at $300.00, effectively lowering their cost basis to $286.50, making it an attractive alternative compared to the current price of $303.96.
- Yield Potential: Should the put option expire worthless, it would yield a 4.50% return on cash commitment, annualized at 38.20%, highlighting the potential profitability of this strategy, especially in a volatile market.
- Call Option Returns: The $315.00 call option has a current bid of $13.70; if an investor buys BURL shares at $303.96 and sells this call, they could achieve an 8.14% total return if the stock is called away at expiration, enhancing the investment's attractiveness.
- Market Volatility Considerations: The implied volatility for the put option is 45% and for the call option is 47%, compared to the actual trailing twelve-month volatility of 43%, indicating market expectations for future price fluctuations of BURL stock, necessitating careful risk-reward assessments by investors.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy BURL?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on BURL
Wall Street analysts forecast BURL stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for BURL is 334.62 USD with a low forecast of 310.00 USD and a high forecast of 363.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
18 Analyst Rating
13 Buy
5 Hold
0 Sell
Moderate Buy
Current: 292.510
Low
310.00
Averages
334.62
High
363.00
Current: 292.510
Low
310.00
Averages
334.62
High
363.00
About BURL
Burlington Stores, Inc. is an off-price retailer of branded merchandise at everyday low prices. The Company’s stores offer an extensive selection of in-season, fashion-focused merchandise, including women’s ready-to-wear apparel, menswear, youth apparel, baby, beauty, footwear, accessories, home, toys, gifts and coats. Its broad selection provides a wide range of apparel, accessories and furnishings for all ages. It sells a broad selection of merchandise acquired directly from manufacturers and other suppliers. It has six distribution centers. Its three east coast distribution centers are located in Edgewater Park, New Jersey; Burlington, New Jersey; and Logan, New Jersey. Its three west coast distribution centers are located in San Bernardino, California, Redlands, California, and Riverside, California. These six distribution centers occupy an aggregate of 5,135,000 square feet, and each includes processing, shipping and storage capabilities. It operates in about 1,108 stores.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Larger Tax Refunds on the Way: Which Retailers Will Benefit the Most?
Impact on Wealthier Shoppers: Wealthier shoppers are expected to benefit significantly from President Trump's new tax bill, which is likely to provide them with larger refunds.
Retailers' Advantage: Retailers that cater to wealthier consumers are positioned to gain the most from the economic changes brought about by the tax bill.
Continue Reading
Trump's Affordability Push Likely to Benefit Low-Income Consumer Stocks
- Policy Shift: The Trump administration is expected to enhance affordability efforts ahead of the midterm elections, targeting low-income consumers, with anticipated changes likely to reshape market dynamics despite current limited impact.
- Beneficiary Companies: Analyst Lakos-Bujas highlighted that retailers like Dollar Tree (DLTR) and Dollar General (DG), along with financial firms such as Citigroup (C) and Western Union (WU), are poised to benefit, reflecting a focus on the low-end consumer segment.
- Market Performance: Despite a recent downgrade, Dollar Tree's stock has surged over 78% in the past year, while Walmart (WMT) has seen a 25% increase due to a surge in AI-driven traffic, indicating sustained demand for low-cost goods.
- Industry Trends: The S&P Retail Select Industry Index (SPSIRE) has gained over 10% in the past year, highlighting strong performance among discount retailers and reflecting a growing consumer demand for affordability.
Continue Reading