Core Viewpoint - Boeing stock has experienced a decline, falling below its 50-day moving average due to a weak earnings report, indicating a bearish outlook for the stock [1][5]. Bear Put Spread Strategy - A bear put spread can be established for Boeing using the 190 strike as the long put and the 185 strike as the short put, with a cost of approximately $75 per contract and a maximum potential gain of $425 [2]. - To achieve maximum profit, Boeing stock needs to drop an additional 13.4% by the expiration date of December 19 [3]. - The breakeven point for this trade is calculated at 189.25, factoring in the $0.75 option premium per contract [3]. Risk and Loss Potential - If Boeing stock is above 190 at expiration, the entire spread will expire worthless, resulting in a total loss of $75 [4]. - A stop loss can be set at 50% of the premium paid, equating to a loss of around $40 [4]. - The initial delta of the trade is -4, indicating exposure similar to being short four shares of Boeing stock [4]. Performance Ratings - Boeing stock has a Composite Rating of 55 out of a possible 99, with an Earnings Per Share Rating of 42 and a Relative Strength Rating of 69, all of which are considered weak [5].

Core Insights - Costco Wholesale's stock has underperformed in 2023, down 1% year-to-date compared to a nearly 15% increase in the S&P 500 [1] - The company's third-quarter results showed earnings per share of $5.87 and revenue of $86.16 billion, both exceeding consensus estimates, but the market reaction was muted [2] - Membership fee income, a key profitability driver, rose 14% year-over-year, indicating strong customer loyalty despite a recent fee increase [3] - Concerns are growing regarding the impact of tariffs and whether Costco can sustain growth to justify its high price-to-earnings ratio of 51 [4] Options Strategy - Investors can consider a bear put spread by buying a 900-strike put option and selling an 880-strike put option, with a maximum loss of $700 if shares are above 900 at expiration [5][6] - The maximum profit from this strategy is $1,300 if shares trade below 880 at expiration [6] Performance Ratings - Costco has an IBD Composite Rating of 46, with shares trending lower and falling below both the 50- and 200-day moving averages [7] - The Relative Strength Rating of 24 indicates that Costco stock has outperformed less than 25% of stocks in the IBD database over the past year [7]