Investors eyeing a purchase of Fastenal Co. (NASD: FAST) shares, but cautious about paying the going market price of $48.56/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 $32.50 strike, which has a bid at the time of this writing of $1.70. Collecting that bid as the premium represents a 5.2% return against the $32.50 commitment, or a 3.3% annualized rate of return (a...
Investors eyeing a purchase of Fastenal Co. (NASD: FAST) shares, but cautious about paying the going market price of $48.56/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 $32.50 strike, which has a bid at the time of this writing of $1.70. Collecting that bid as the premium represents a 5.2% return against the $32.50 commitment, or a 3.3% annualized rate of return (a...
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