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LEAPS (Long-Dated Call)
growth Capped lossA long-term, stock-replacement bullish bet.
⚠ A directional growth play, not income — never auto-picked for income. (Its backtest ran in a bearish window.)
When to use it
High-conviction multi-quarter bullish thesis. Buy a deep-ITM call expiring 12+ months out as a leveraged stock substitute.
Max profit
Unlimited to the upside.
Max loss
The debit paid.
Payoff at expiry
illustrative shape — not to scale
■ profit zone
■ loss zone
X axis = stock price at expiry →
How it's built
Strikes shown low→high. Sell = collect premium · Buy = pay premium for protection or upside.
Hermes-evaluated setups
High-conviction per-ticker applications — setups with a confidence-adjusted win rate ≥ 80% over ≥20 backtested trades (95% lower bound — honest for the sample size, never a raw 100%). Avg P/L is the mean profit/loss per one-contract position.
| Ticker | Win Rate | Avg P/L / contract | Sharpe | Trades | DTE |
|---|---|---|---|---|---|
| CASY | 87% | +$3,656.00 | 5.9 | 39 | — |
| VRTX | 91% | +$2,684.00 | 8.1 | 38 | — |
| ADP | 80% | +$1,408.00 | 3.4 | 40 | — |
| VST | 84% | +$950.00 | 1.9 | 42 | — |
| BKNG | 92% | +$876.00 | 9.9 | 42 | — |
| STRL | 81% | +$793.00 | 2.2 | 43 | — |
Backtested results are not a guarantee of future performance.