Investors eyeing a purchase of Tecumseh Products Co. (TECUA) shares, but tentative about paying the going market price of $11.17/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the December put at the $10 strike, which has a bid at the time of this writing of 70 cents. Collecting that bid as the premium represents a 7% return against the $10 commitment, or a 15.1% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy Tecumseh Products At $10, Earn 15.1% Annualized
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