Investors considering a purchase of Cooper Tire & Rubber Co. (CTB) stock, but cautious about paying the going market price of $33.55/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 $30 strike, which has a bid at the time of this writing of $1.20. Collecting that bid as the premium represents a 4% return against the $30 commitment, or a 12.6% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Purchase Cooper Tire & Rubber At $30, Earn 12.6% Annualized
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