Monday, November 26, 2012

COST - New Position

A new CSP position was established today on Costco Wholesale (COST). All prices include IB commissions.

Dividend Champions StatusContender
Years of Consecutive Dividend Increases9
Fair Value Estimate$116.00
Target Buy Price$92.80
Target Margin of Safety20.00%
Actual Buy Price$92.50
Actual Margin of Safety20.26%

DateStockDescriptionTransactionStatusStock InvestmentIncome Generated
11/26/2012COSTCSP Margin UsedCSP 100 COST @ 92.50 ($9,250.00) 
11/26/2012COSTInitial Put OptionSTO 1 Dec12 92.50 Put @ 0.65  $64.94

Position Summary

Cost Basis($9,250.00)
Income Generated$64.94
Percent Income Generated0.70%
Annualized Income Generated10.25%
Net Profit If Assigned$64.94
Percent Return If Assigned0.70%
Annualized Return If Assigned10.25%
Days Held to Expiration25 days