I am recommending we roll our Advanced Micro Devices (AMD) put out one week to generate the largest premium I have seen from this kind of roll.
Our Crocs (CROX) and JPMorgan Chase (JPM) puts are deep in the money after the stocks sold off sharply this week. I am recommending we accept shares. We will sell calls against our shares soon.
Finally, our Danaher (DHR) bull put spread is on track to expire worthless, allowing us to book the maximum profit.
AMD Dec Monthly (12/17) 145 Put
Current Stock Price: $139.31
Cash in Hand: $4.39
Action:
- Buy to close the AMD Dec Monthly (12/17) 145 Put for around $5.85
- Sell to open the AMD Dec Week Four (12/23) 145 Put for around $8.05
- Set initial credit limit at $2.20, but adjust as needed to roll today
New Cash in Hand: $6.59
CROX Dec Monthly (12/17) 160 Put
Current Stock Price: $135.49
Cash in Hand: $3.45
Action: Accept shares
Cost Basis: $156.65
DHR Dec Monthly (12/17) 300/295 Put Spread
Current Stock Price: $313.54
Cash in Hand: $0.65
Action: Watch spread expire worthless
Profit: $0.65, or $65 per spread
JPM Dec Monthly (12/17) 165 Put
Current Stock Price: $156.59
Cash in Hand: $3.48
Action: Accept shares
Cost Basis: $161.52