We have positions in Best Buy (BBY), CVS Health (CVS) and Peloton Interactive (PTON) expiring today.
Our BBY put is deep in the money, so I am recommending we accept shares. We will sell a call against them soon to lower our cost basis on the position.
Next, I am recommending we roll our CVS call out one week to avoid potential assignment and generate more income.
Finally, our PTON spread is on track to expire worthless. We will simply watch it do so. I will be recommending a new spread soon to reduce our net debit on the position.
BBY Sep Monthly (9/17) 120 Put
Current Stock Price: $110.22
Cash in Hand: $3.10
Action: Accept shares
Cost Basis: $116.90
CVS Sep Monthly (9/17) 85 Call
Current Stock Price: $85.47
Cost Basis: $83.87
- Buy to close the CVS Sep Monthly (9/17) 85 Call for around $0.62
- Sell to open the CVS Sep Week Four (9/24) 85 Call for around $1.25
- Set initial credit limit at $0.63
New Cost Basis: $83.24
PTON Sep Monthly (9/17) 90/80 Put Spread
Current Stock Price: $103.27
Net Debit: $6.30
Action: Watch spread expire worthless