Thursday, November 3, 2011

STRA - Adjustment

The following adjustment was made today on Strayer Education Inc (STRA). All prices include IB commissions.

CriteriaValue
Dividend Champions StatusChallenger
Years of Consecutive Dividend Increases7
Fair Value Estimate$130.00*
Target Buy Price$78.00
Target Margin of Safety40.00%%
Actual Buy Price$95.00
Actual Margin of Safety26.92%

*The Fair value was lowered from $172.00 to $130.00 during the holding period, which lowered my Margin of Safety.

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
11/3/2011STRAContinued TradeSTO 1 Jan12 95.00 Call @ 4.63  $462.97

Current Position Summary

Cost Basis($9,500.00)
Income Generated$781.95
Percent Income Generated8.23%
Annualized Income Generated12.41%
Net Profit If Assigned$781.95
Percent Return If Assigned8.23%
Annualized Return If Assigned12.41%
Days Held to Expiration242 days

Trade History

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
5/23/2011STRACSP Margin UsedCSP 100 STRA @ 95.00 ($9,500.00) 
5/23/2011STRAInitial Put OptionSTO 1 Oct11 95.00 Put @ 3.19Exercised $318.98
10/21/2011STRACSP Margin ReturnedCSP 100 STRA @ -95.00 $9,500.00 
10/21/2011STRAStock AssignedEX 1 Oct11 95.00 Put @ -95.00 ($9,500.00) 
11/3/2011STRAContinued TradeSTO 1 Jan12 95.00 Call @ 4.63  $462.97
1/20/2012STRA Totals ($9,500.00)$781.95
DTE242 Percent Income/Annualized 8.23%12.41%