02-04-2014, 12:41 AM
(This post was last modified: 02-04-2014, 12:43 AM by Dividend Watcher.)
Red, how about selling some cash-secured OTM puts on your favorites here? I've noticed that the premiums are starting to inch up on a few issues I was ogling (not that I have a ton of cash on the sidelines here).
TDA has a $2.70 premium on CVX for the March monthly $110. That would put you in at about $107.60 after commissions giving you around a 3.7% yield and P/E of about 9.7. Of course, CVX's earnings have been slowing a little bit but they're not going away.
Or you could start with 1/4 positions here and then wait and see.
Surprisingly, I'm actually just fine with the recent drop and wasn't sure if it would bug me or not. I'm more anxious about dividend pay dates getting here. Too bad March is my biggest month for divs. This may be the correction we've been waiting for. We'll have to see what weaker hands shake out this week.
TDA has a $2.70 premium on CVX for the March monthly $110. That would put you in at about $107.60 after commissions giving you around a 3.7% yield and P/E of about 9.7. Of course, CVX's earnings have been slowing a little bit but they're not going away.
Or you could start with 1/4 positions here and then wait and see.
Surprisingly, I'm actually just fine with the recent drop and wasn't sure if it would bug me or not. I'm more anxious about dividend pay dates getting here. Too bad March is my biggest month for divs. This may be the correction we've been waiting for. We'll have to see what weaker hands shake out this week.
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“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan
“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan