Investors considering a purchase of Nordstrom, Inc. (NYSE: JWN) stock, but tentative about paying the going market price of $59.17/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 $45 strike, which has a bid at the time of this writing of $3.05. Collecting that bid as the premium represents a 6.8% return against the $45 commitment, or a 4.2% annualized rate of return (...
Investors considering a purchase of Nordstrom, Inc. (NYSE: JWN) stock, but tentative about paying the going market price of $59.17/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 $45 strike, which has a bid at the time of this writing of $3.05. Collecting that bid as the premium represents a 6.8% return against the $45 commitment, or a 4.2% annualized rate of return (...
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