September 18th BVN Options: Two Strategic Plays You Should Know About

Shares of Compania de Minas Buenaventura S.A. (BVN) just opened fresh options contracts expiring September 18th, and traders are already eyeing some compelling opportunities. With 246 days to expiration, the extended time window means fatter premiums than you’d see on shorter-dated contracts—here’s what’s worth considering.

The Put Play: Collecting 9.12% Premium on a Discount Entry

Here’s an interesting scenario for income seekers: the $34.00 strike put option is sitting at a $3.10 bid. Writing that put locks in a commitment to buy BVN at $34.00, but you’re collecting the premium upfront. That drops your effective cost basis to $30.90—a nice discount versus the current $34.20 price tag.

Since the $34.00 strike sits roughly 1% below market, there’s a 59% statistical probability this contract expires worthless entirely. If it does? That $3.10 premium works out to a 9.12% return on your cash commitment, or 13.53% annualized. For investors already hunting for an entry point into BVN, this structure beats paying full price today while generating income in the process.

The Call Options Strategy: Capped Upside with 11.70% Maximum Return

Flipping to the call side, the $35.00 strike call is quoted at $3.20. Buy 100 shares of BVN at $34.20, then write that call contract as a covered call—you’re essentially agreeing to sell at $35.00 while keeping the premium. Total return if the stock gets called away at expiration? 11.70% (excluding any dividends).

That $35.00 strike sits about 2% above the current price, giving this call options contract a 43% odds of expiring untouched. If it does, you keep both your shares and the $3.20 per share premium—a pure 9.36% yield boost, or 13.89% annualized. The tradeoff: you’re capping your upside if BVN absolutely explodes higher.

The Volatility Picture

Implied volatility on the put sits at 50%, while the call options chain shows 51% IV. The actual trailing twelve-month volatility (measuring the last 251 trading days plus today’s $34.20 close) comes in at 39%—suggesting there’s some premium baked in on these new contracts.

Both strategies offer defined income opportunities with known maximum returns. The choice comes down to whether you’d rather take a discounted stock assignment or generate yield on shares you already own.

For more structured option plays across different underlyings, deeper analysis tools and strategy tracking can help you optimize entries and exits.