Allegheny Tech (ATI) – Room for Growth Still

I put a limit in to sell a June 110 put on Allegheny Technologies, Inc (ATI).  I’ve traded options on ATI before and continue to come out ahead.  Even if assigned from the naked put, the call premiums are high enough to stay in the game easily. 

Looking at the ATI chart I see that not only is it climbing back from support on its 50 day moving average, but also its lower trend line of higher lows recently provided support.  Cramer likes ATI and schaeffersresearch.com rates ATI 7 out of 10. 

Further analysis shows, with a PEG of only 0.93 and a forward p/e of 13.03, ATI has a little room for error should everything not stay completely rosey.  If they can meet analysts expectations, ATI will only go higher.

My limit didn’t hit at open and I lowered it since ATI was up.  The limit for the June 110 put (ATIRX) hit at 9:39 this morning while ATI was trading at 112.40.  I received $409.25 after commissions and now will wait to see if ATI can stay above $106.