Investors considering a purchase of Fuel Systems Solutions Inc (FSYS) shares, but tentative about paying the going market price of $18.56/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 $16 strike, which has a bid at the time of this writing of $1.05. Collecting that bid as the premium represents a 6.6% return against the $16 commitment, or a 12.5% annualized rate of return (at Stock Options Channel we call this the YieldBoost).
Commit To Purchase Fuel Systems Solutions At $16, Earn 12.5% Annualized
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