Investors eyeing a purchase of Demandware Inc (DWRE) shares, but cautious about paying the going market price of $46.93/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the April 2014 put at the $35 strike, which has a bid at the time of this writing of $1.85. Collecting that bid as the premium represents a 5.3% return against the $35 commitment, or a 9.7% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Purchase Demandware At $35, Earn 9.7% Annualized
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