May 19, 2020 - MDT Alert (OSTK)

Today,  I would like to make another recommendation on a stock that does have weekly options.  And I want to suggest a weekly covered call.

The stock is Overstock.com Inc. (OSTK).

OSTK reported already and reported a beat.

OSTK is trading around $17.64 as I write this.

Buy OSTK at the market at $17.64.

Then Sell to Open (1) May 22nd - $18 call for every 100 shares you buy.

You should be able to sell the May 22nd - $18 calls for $0.55.

Limit the stock purchase to 300 shares or 5.2% of the portfolio. If you buy 300 shares, it would mean you would sell 3 calls.

If the calls are assigned this Friday, the return will be 5.2% for 4 days.

/by

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May 19, 2020 - MDT Alert (HOG) May 19, 2020 - MDT Alert (AMN)

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