The market is rallying sharply this morning on a lower-than-expected inflation reading. Let’s use this to our advantage to book profits on Devon Energy (DVN) and Starbucks (SBUX), earning annualized rates of return of 113% and 72%, respectively.
DVN Dec Monthly (12/16) 58 Put
Current Stock Price: $62.52
Cash in Hand: $0.49
Action: Buy to close the DVN Dec Monthly (12/16) 58 Put for around $0.13, but adjust as needed to close today
Profit: $0.36, or $36 per contract
SBUX Dec Monthly (12/16) 99 Put
Current Stock Price: $104.30
Cash in Hand: $0.51
Action: Buy to close the SBUX Dec Monthly (12/16) 99 Put for around $0.12, but adjust as needed to close today
Profit: $0.39, or $39 per contract