Kroger Co. (KR) has pulled back with the broader market over the past week and a half. I am recommending we roll our call out two weeks to generate more income and reduce our cost basis on the position.
Current Stock Price: $47.89
Cost Basis: $54.87
- Buy to close the KR Sep Week One (9/2) 48.50 Call for around $0.26
- Sell to open the KR Sep Monthly (9/16) 48.50 Call for around $1.58
- Set initial credit limit at $1.32, but adjust as needed to roll today
New Cost Basis: $53.55