Investors eyeing a purchase of Ignite Restaurant Group Inc (IRG) stock, but cautious about paying the going market price of $19.47/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the March 2014 put at the $17.50 strike, which has a bid at the time of this writing of $1.20. Collecting that bid as the premium represents a 6.9% return against the $17.50 commitment, or a 10.3% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy Ignite Restaurant Group At $17.50, Earn 10.3% Annualized
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