Investors considering a purchase of athenahealth (NASD: ATHN) stock, but cautious about paying the going market price of $111.06/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 $75 strike, which has a bid at the time of this writing of $5.00. Collecting that bid as the premium represents a 6.7% return against the $75 commitment, or a 5.2% annualized rate of return (at...
Investors considering a purchase of athenahealth (NASD: ATHN) stock, but cautious about paying the going market price of $111.06/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 $75 strike, which has a bid at the time of this writing of $5.00. Collecting that bid as the premium represents a 6.7% return against the $75 commitment, or a 5.2% annualized rate of return (at...
Share this Article
Comment on this Article
Recommended
Please to comment