Thursday, May 19, 2011

LOW - Adjustment




The following adjustment was made today on Lowes Companies Inc (LOW). All prices include IB commissions.











CriteriaValue
Dividend Champions StatusChampion
Years of Consecutive Dividend Increases48
Years of Positive Free Cash Flow (last 10 years)10
Fair Value Estimate$36.00
Target Buy Price$25.00
Target Margin of Safety30.56%
Actual Buy Price$25.00
Actual Margin of Safety30.56%








DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
5/19/2011LOWBuy Back and Roll OutBTC 2 May11 25.00 Put @ -0.28 ($55.44) 
5/19/2011LOWContinued TradeSTO 2 Jun11 25.00 Put @ 0.69  $138.56


Current Position Summary





Cost Basis($5,000.00)
Income Generated$183.69
Percent Income Generated3.67%
Annualized Income Generated17.19%
Net Profit If Assigned$183.69
Percent Return If Assigned3.67%
Annualized Return If Assigned17.19%
Days Held to Expiration78 days


Trade History











DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
3/31/2011LOWCSP Margin UsedCSP 200 LOW @ 25.00 ($5,000.00) 
3/31/2011LOWInitial Put OptionSTO 2 May11 25.00 Put @ 0.50Closed $100.57
5/19/2011LOWBuy Back and Roll OutBTC 2 May11 25.00 Put @ -0.28  ($55.44)
5/19/2011LOWContinued TradeSTO 2 Jun11 25.00 Put @ 0.69  $138.56
6/17/2011LOW Totals ($5,000.00)$183.69
DTE78 Percent Income/Annualized 3.67%17.19%