ROKU Post-Earnings: Navigating the “Fade”

Date: February 13, 2026 (Post-Market Close)

Closing Price: $90.08 (Daily Range: $86.00 – $97.00)

1. The Situation Report: A “Bullish Hammer” Finish

The market open today was a classic “shakeout,” but the finish was institutional. After the opening slide to $86.00, ROKU spent the afternoon in a steady accumulation phase, ultimately closing at $90.08.

• The Nuance: Closing above $90.00 is a significant psychological victory. It suggests that the “gap fill” is complete and that the floor has been established.
• The Reasoning: Selling the short calls at 3:50 PM allowed me to capture the maximum “end-of-day” premium as the stock was trending upward toward the close.

2. My Current Position Status: The Protected LEAPS

• Long Leg: 2x Jan 2027 $60 Calls (Cost: $42.85).
• Short Leg: 2x March 27, 2026 $102 Calls (Sold @ $2.65).
• Net Status: Fully Covered / Active Income Mode.

3. Tactical Nuance: The Strategic Pivot to $102

I moved the strike from the original $110 target down to $102 to capitalize on the elevated Implied Volatility (IV) that lingered after the morning drop.

• The Opinion: While $110 was “safer,” $102 is the “sweet spot.” It sits just above the post-earnings high of $97, providing a 13% buffer while paying out a much more substantial premium.
• The Benefit: By selling for $2.65, I am being compensated heavily for a move that ROKU hasn’t sustained in months.

4. Action Plan: The “House Money” Transition

Step 1: Cumulative Gains Tracking (The “Rent” Roll)

• Previously Banked Income: $365.
• New Premium Collected (Today): $530 ($2.65 x 2).
• Total “Rent” to Date: $895.
• Net Adjusted Cost Basis: My effective cost for the $60 LEAPS is now down to $38.37.

Step 2: Management Scenarios for March 27

• Scenario A: The Drift ($90 – $101): This is the ideal “Theta Burn” scenario. The $102 calls will lose value every day the stock stays under $100. I will hold until they lose ~75% of their value, then look to “roll” them to April.
• Scenario B: The Breakout ($102+): If ROKU rallies past $102, my LEAPS (Delta ~0.85) will continue to gain value significantly faster than the short calls lose it. I have the choice to roll the calls for a credit or close the entire spread for a realized profit well above my adjusted cost basis.

5. Summary of Actions

1. HOLD the 2027 $60 LEAPS. The GAAP profitability story is the primary driver for 2026.
2. RELAX over the weekend. Closing at $90.08 with $895 in total rent collected means the trade is mathematically “de-risked” by nearly 10% in just two weeks.
3. MONITOR for a “Monday Follow-through.” If the institutions liked what they saw in today’s recovery, we could see a push back toward $95 early next week.

Final Thought: Navigating a $10 intraday swing is a test of discipline. By ignoring the $86 panic and selling the 3:50 PM strength, I’ve turned a volatile earnings event into a professional income-generating setup.