Investors eyeing a purchase of Globecomm Systems Inc. (GCOM) shares, but tentative about paying the going market price of $14.58/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the February 2014 put at the $12.50 strike, which has a bid at the time of this writing of 30 cents. Collecting that bid as the premium represents a 2.4% return against the $12.50 commitment, or a 4.5% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy Globecomm Systems At $12.50, Earn 4.5% Annualized
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