Investors considering a purchase of Eaton Corp plc (NYSE: ETN) stock, but tentative about paying the going market price of $67.28/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 $47 strike, which has a bid at the time of this writing of $3.20. Collecting that bid as the premium represents a 6.8% return against the $47 commitment, or a 4.2% annualized rate of return (a...
Investors considering a purchase of Eaton Corp plc (NYSE: ETN) stock, but tentative about paying the going market price of $67.28/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 $47 strike, which has a bid at the time of this writing of $3.20. Collecting that bid as the premium represents a 6.8% return against the $47 commitment, or a 4.2% annualized rate of return (a...
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