Monday, May 23, 2011

LOW - New Position

A new CSP position was established today on Lowes Companies Inc (LOW) All prices include IB commissions.

This is the second position on LOW.

Dividend Champions StatusChampion
Years of Consecutive Dividend Increases48
Fair Value Estimate$36.00
Target Buy Price$25.00
Target Margin of Safety30.56%
Actual Buy Price$21.00
Actual Margin of Safety41.67%

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
5/23/2011LOWCSP Margin UsedCSP 200 LOW @ 21.00 ($4,200.00) 
5/23/2011LOWInitial Put OptionSTO 2 Oct11 21.00 Put @ 0.56  $112.56

Position Summary

Cost Basis($4,200.00)
Income Generated$112.56
Percent Income Generated2.68%
Annualized Income Generated6.48%
Net Profit If Assigned$112.56
Percent Return If Assigned2.68%
Annualized Return If Assigned6.48%
Days Held to Expiration151 days