Thursday, March 22, 2012

JNJ - New Position

A new CSP position was established today on Johnson and Johnson (JNJ). All prices include IB commissions.

Dividend Champions StatusChampion
Years of Consecutive Dividend Increases49
Fair Value Estimate$77.00
Target Buy Price$61.60
Target Margin of Safety20.00%
Actual Buy Price$62.50
Actual Margin of Safety18.83%

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
3/22/2012JNJCSP Margin UsedCSP 100 JNJ @ 62.50 ($6,250.00) 
3/22/2012JNJInitial Put OptionSTO 1 May12 62.50 Put @ 0.53  $52.97

Position Summary

Cost Basis($6,250.00)
Income Generated$52.97
Percent Income Generated0.85%
Annualized Income Generated5.43%
Net Profit If Assigned$52.97
Percent Return If Assigned0.85%
Annualized Return If Assigned5.43%
Days Held to Expiration57 days