DailyPlay – Opening Trade (AZN) – October 23, 2025

AZN Bullish Opening Trade Signal

Investment Rationale

Investment Thesis
AstraZeneca PLC (AZN) presents a compelling bullish setup ahead of its upcoming earnings report on Thursday, November 6, before the market opens. The company’s strong growth profile, underpinned by expanding margins and accelerating revenue, continues to differentiate it within the pharmaceutical sector. With shares consolidating near recent highs following a sustained uptrend, the stock appears well-positioned for potential continuation higher into the earnings event. This setup aligns with a favorable risk/reward environment for traders seeking exposure to a large-cap growth leader in healthcare.

Technical Analysis
AZN’s technical picture remains constructive, supported by a rising 50-day and 20-day moving average that are both trending above the 200-day line. The stock has pulled back slightly from its October peak near $85, now finding support around the 20-day moving average near $82.50—an area coinciding with prior breakout levels. Notably, inside the OptionsPlay platform yesterday, a “CCI Dip In Bullish Trend” alert was generated, indicating the stock is maintaining its broader uptrend while experiencing a short-term dip that may offer an attractive entry point for bullish strategies. A break above $85 would likely trigger a renewed push toward higher highs into earnings.

Fundamental Analysis
AstraZeneca continues to demonstrate superior growth metrics compared to its industry peers, reinforcing the bullish case from a fundamental standpoint. The company’s profitability and growth trajectory remain robust, driven by a strong oncology pipeline and expanding margins across key therapeutic segments.

• Forward PE Ratio: 27.89x vs. Industry Median 14.07x
• Expected EPS Growth: 37.18% vs. Industry Median 7.52%
• Expected Revenue Growth: 35.85% vs. Industry Median 3.75%
• Net Margins: 52.41% vs. Industry Median 16.07%

Options Trade
The suggested trade is to buy the AZN November 21, 2025, 82.5/90 call vertical spread for $2.61, with a defined risk of $261 and a maximum potential reward of $489. This bullish vertical spread benefits from continued upside momentum while limiting downside exposure ahead of earnings. The trade profits if AZN closes above $85.11 by expiration, with breakeven set just above current support. Structuring the position as a debit call spread reduces the cost compared to buying calls outright, offering an efficient way to express a bullish view while maintaining favorable risk/reward characteristics.

AZN – Daily

Trade Details

Strategy Details

Strategy: Long Call Vertical Spread

Direction: Bullish Debit Spread

Details: Buy to Open 7 AZN Nov 21 $82.50/$90 Call Vertical Spreads @ $2.61 Debit per Contract.

Total Risk: This trade has a max risk of $1,827 (7 Contracts x $261) based on a hypothetical $100k portfolio risking 2%. We suggest risking only 2% of the value of your portfolio and divide it by $261 to select the # contracts for your portfolio.

Trend Continuation Signal: This is a bullish trade on a stock that is expected to continue higher over the duration of this trade.

1M/6M Trends: Bullish/Bullish

Relative Strength: 8/10

OptionsPlay Score: 106

Stop Loss: @ $1.31 (50% loss of premium)

View AZN Trade

Entering the Trade

Use the following details to enter the trade on your trading platform. Please note that whenever there is a multi-leg option strategy, it should be entered as a single trade. 

PLEASE NOTE that these prices are based on Wednesday’s closing prices. Should the underlying move significantly during the pre-market hours, we will likely adjust the strikes and prices to reflect a more accurate trade entry. 

View AZN Trade