Investors eyeing a purchase of H&E Equipment Services (HEES) shares, but tentative about paying the going market price of $26.05/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 $22.50 strike, which has a bid at the time of this writing of $1.00. Collecting that bid as the premium represents a 4.4% return against the $22.50 commitment, or a 10.3% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Buy H&E Equipment Services At $22.50, Earn 10.3% Annualized
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