call write

Covered Call Options Strategy for United Parcel Services (UPS)

Today’s covered call trade is on United Parcel Services (UPS) that reported better than expected earnings on 10/24/2011. United Parcel Service Inc. (UPS) reported a 5.1% increase in third-quarter earnings Tuesday that topped Wall Street’s profit forecast, although overall package volume was stagnant due to a downturn in Asian exports and slack U.S. demand.  Executives of the Atlanta-based …

Covered Call Options Strategy for United Parcel Services (UPS) Read More »

Covered Call Recommendation on Berkshire Hathaway B Shares

Covered Call Recommendation on Berkshire Hathaway B (BRK.B) trading at $72.09 Strategy: Look to sell one October 2011 72.5 call for wach 100 shares of Berkshire Hathaway (BRK.B).  The net debit will be $69.89 (72.09-2.20) for an assigned return of 3.73% in 24 days or 56.8% annualized. Research Notes:  This is the first time Berkshire …

Covered Call Recommendation on Berkshire Hathaway B Shares Read More »

Defensive Covered Call Strategy on Apache Corp (APA)

This is a defensive in-the-money covered call recommendation on Apache Corporation setup as an income investment. Covered Call Strategy: Look at the January 85 covered call. For each 100 shares of Apache Corporation (APA) stock you buy, sell one January 85 covered call option for an 80.08 (94.63 – 14.55) debit or better. That’s potentially …

Defensive Covered Call Strategy on Apache Corp (APA) Read More »