The following adjustment was made yesterday & today on Teva Pharmaceutical Industries Ltd (TEVA). All prices include IB commissions.
TEVA Ex-Dividend date was today, 8/16. Yesterday my Aug 40 Call was ITM with little to no time value left, making it a candidate for early exercise. So, just before the market close, I bought back the call to avoid assignment so I could collect the dividend. Then I waited until today to sell another call, and chose the Sep 40 Call, which was ITM.
| Criteria | Value |
|---|---|
| Dividend Champions Status | Contender |
| Years of Consecutive Dividend Increases | 13 |
| Fair Value Estimate | $48.00* |
| Target Buy Price | $33.60 |
| Target Margin of Safety | 30.00% |
| Actual Buy Price | $40.00 |
| Actual Margin of Safety | 16.67% |
*Fair Value was lowered from $58 to $48 since inception which lowered my 31.03% Margin of Safety to 16.67%.
| Date | Stock | Description | Transaction | Status | Stock Investment | Income Generated |
|---|---|---|---|---|---|---|
| 8/15/2013 | TEVA | Buy Back | BTC 1 Aug13 40.00 Call @ -0.43 | ($42.69) | ||
| 8/16/2013 | TEVA | Roll Out | STO 1 Sep13 40.00 Call @ 0.91 | $90.93 |
Current Position Summary
| Cost Basis | ($4,000.00) |
| Income Generated | $337.94 |
| Percent Income Generated | 8.45% |
| Annualized Income Generated | 5.64% |
| Net Profit If Closed | $337.94 |
| Percent Return If Closed | 8.45% |
| Annualized Return If Closed | 5.64% |
| Days Held to Expiration | 547 days |
Trade History
| Date | Stock | Description | Transaction | Status | Stock Investment | Income Generated |
|---|---|---|---|---|---|---|
| 3/22/2012 | TEVA | CSP Margin Used | CSP 100 TEVA @ 40.00 | ($4,000.00) | ||
| 3/22/2012 | TEVA | Initial Put Option | STO 1 May12 40.00 Put @ 0.51 | Exercised | $50.97 | |
| 5/18/2012 | TEVA | CSP Margin Returned | CSP 100 TEVA @ -40.00 | $4,000.00 | ||
| 5/18/2012 | TEVA | Stock Assigned | EX 1 May12 40.00 Put @ -40.00 | ($4,000.00) | ||
| 6/25/2012 | TEVA | Continued Trade | STO 1 Jul12 42.50 Call @ 0.19 | Expired | $19.27 | |
| 7/27/2012 | TEVA | Continued Trade | STO 1 Sep12 45.00 Call @ 0.25 | Expired | $25.24 | |
| 9/4/2012 | TEVA | Dividend Received | STO 100 Dividend @ 0.25 | $24.80 | ||
| 9/4/2012 | TEVA | Witholding Tax | TAX 1 Withholding Tax @ -0.04 | ($3.97) | ||
| 11/19/2012 | TEVA | Continued Trade | STO 1 Dec12 40.00 Call @ 0.44 | Expired | $44.24 | |
| 12/3/2012 | TEVA | Dividend Received | STO 100 Dividend @ 0.26 | $25.52 | ||
| 12/3/2012 | TEVA | Witholding Tax | TAX 1 Withholding Tax @ -0.05 | ($5.28) | ||
| 3/6/2013 | TEVA | Continued Trade | STO 1 Apr13 40.00 Call @ 0.59 | Expired | $59.16 | |
| 6/3/2013 | TEVA | Dividend Received | DIV 100 Dividend @ 0.32 | $31.55 | ||
| 6/3/2013 | TEVA | Witholding Tax | TAX 1 Withholding Tax @ -0.05 | ($4.73) | ||
| 8/1/2013 | TEVA | Continued Trade | STO 1 Aug13 40.00 Call @ 0.23 | Closed | $22.93 | |
| 8/15/2013 | TEVA | Buy Back | BTC 1 Aug13 40.00 Call @ -0.43 | ($42.69) | ||
| 8/16/2013 | TEVA | Roll Out | STO 1 Sep13 40.00 Call @ 0.91 | $90.93 | ||
| 9/20/2013 | TEVA | Totals | ($4,000.00) | $337.94 | ||
| DTE | 547 | Percent Income/Annualized | 8.45% | 5.64% |
