Investors eyeing a purchase of Vera Bradley Inc. (VRA) shares, but cautious about paying the going market price of $20.67/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the November put at the $17.50 strike, which has a bid at the time of this writing of 90 cents. Collecting that bid as the premium represents a 5.1% return against the $17.50 commitment, or a 13.2% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Purchase Vera Bradley At $17.50, Earn 13.2% Annualized
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