Investors considering a purchase of Coinstar, Inc. (NASD: CSTR) shares, but cautious about paying the going market price of $57.58/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 $40 strike, which has a bid at the time of this writing of $4.30. Collecting that bid as the premium represents a 10.8% return against the $40 commitment, or a 6.8% annualized rate of return ...
Investors considering a purchase of Coinstar, Inc. (NASD: CSTR) shares, but cautious about paying the going market price of $57.58/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 $40 strike, which has a bid at the time of this writing of $4.30. Collecting that bid as the premium represents a 10.8% return against the $40 commitment, or a 6.8% annualized rate of return ...
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