- HUYA is a large, fast-growing video game streaming company based in China.
- The company offers an attractive P/E multiple, relative to its expected future growth.
- This valuation is largely due to fears surrounding regulatory concerns in China, as well as short sellers driving the company's stock down in order to benefit from a potential merger.
- Although the stock is reasonably priced given the above, call options on HUYA may still present an attractive risk-reward profile, due to their ability to limit downside exposure.
For further details see:
HUYA: Risky, But After A Big Dip, Call Options Are Looking Attractive