Investors considering a purchase of BroadSoft (BSFT) stock, but cautious about paying the going market price of $36.95/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2015 put at the $22.50 strike, which has a bid at the time of this writing of $1.60. Collecting that bid as the premium represents a 7.1% return against the $22.50 commitment, or a 5.3% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy BroadSoft At $22.50, Earn 7.1%
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