Investors eyeing a purchase of FARO Technologies Inc. (FARO) stock, but cautious about paying the going market price of $36.44/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 $30 strike, which has a bid at the time of this writing of $1.35. Collecting that bid as the premium represents a 4.5% return against the $30 commitment, or a 9.9% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy FARO Technologies At $30, Earn 9.9% Annualized
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