Investors considering a purchase of R.R. Donnelley & Sons Co. (NASD: RRD) stock, but tentative about paying the going market price of $13.10/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 $3 strike, which has a bid at the time of this writing of 25 cents. Collecting that bid as the premium represents a 8.3% return against the $3 commitment, or a 5.2% annualized rate ...
Investors considering a purchase of R.R. Donnelley & Sons Co. (NASD: RRD) stock, but tentative about paying the going market price of $13.10/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 $3 strike, which has a bid at the time of this writing of 25 cents. Collecting that bid as the premium represents a 8.3% return against the $3 commitment, or a 5.2% annualized rate ...
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