Investors considering a purchase of Western Digital Corp. (WDC) shares, but tentative about paying the going market price of $62.25/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 $38 strike, which has a bid at the time of this writing of $2.54. Collecting that bid as the premium represents a 6.7% return against the $38 commitment, or a 4% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy Western Digital At $38, Earn 6.7%
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