Wednesday, May 29, 2013

Options Trade - Southern Co. (SO)


I'm reporting a put I sold this week.  I decided to sell a SO put since I'd like to add more of the stock at my cost basis or lower.  It currently yields about 4.5%.

I Sold 1 SO Nov 16 '13 $45 Put @ 2.09

This trade could turn out a few ways:

1) I hold shares until expiration and shares are trading above $45.00.  I will get to keep the $209 in options premiums.

2) I hold shares until expiration and shares are trading below $45.00.  I will get assigned 100 shares of SO at a cost of $42.91/share.  This price also corresponds to a yield of 4.7%.

3) Shares of SO go on a run and I decide to buy back the put early for a profit less than $209.

I currently have 15 open options positions and a total options profit of $2544 for 2013.  My options page has been updated accordingly.

No comments:

Post a Comment