Investors considering a purchase of J.C. Penney Co., Inc. (NYSE: JCP) stock, but cautious about paying the going market price of $19.18/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2015 put at the $8 strike, which has a bid at the time of this writing of 82 cents. Collecting that bid as the premium represents a 10.2% return against the $8 commitment, or a 6.2% annualized rate of r...
Investors considering a purchase of J.C. Penney Co., Inc. (NYSE: JCP) stock, but cautious about paying the going market price of $19.18/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2015 put at the $8 strike, which has a bid at the time of this writing of 82 cents. Collecting that bid as the premium represents a 10.2% return against the $8 commitment, or a 6.2% annualized rate of r...
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