Commit To Buy Dole Food At $11, Earn 5% Annualized

Investors considering a purchase of Dole Food Co., Inc. (NYSE: DOLE) shares, but tentative about paying the going market price of $12.99/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2014 put at the $11 strike, which has a bid at the time of this writing of 25 cents. Collecting that bid as the premium represents a 2.3% return against the $11 commitment, or a 5% annualized rate of r...