I am recommending we roll our Best Buy (BBY), First Solar (FSLR), Target (TGT) and Yeti Holdings (YETI) calls out two weeks to generate more income and reduce our cost basis on the positions.
BBY Dec Week Four (12/23) 102 Call
Current Stock Price: $97.43
Cost Basis: $109.41
Action:
- Buy to close the BBY Dec Week Four (12/23) 102 Call for around $0.04
- Sell to open the BBY Jan Week One (1/7) 100 Call for around $1.42
- Set initial credit limit at $1.38, but adjust as needed to roll today
New Cost Basis: $108.03
FSLR Dec Week Four (12/23) 95 Call
Current Stock Price: $88.02
Cost Basis: $103.34
Action:
- Buy to close the FSLR Dec Week Four (12/23) 95 Call for around $0.02
- Sell to open the FSLR Jan Week One (1/7) 95 Call for around $0.99
- Set initial credit limit at $0.97, but adjust as needed to roll today
New Cost Basis: $102.37
TGT Jan 2023 (1/20/23) 200/Dec Week Four (12/23) 235 Call Spread
Note: No action is needed on the TGT Jan 2023 (1/20/23) 200 Call at this time.
Current Stock Price: $219.14
Cost Basis: $61.65
Action:
- Buy to close the TGT Dec Week Four (12/23) 235 Call for around $0.01
- Sell to open the TGT Jan Week One (1/7) 230 Call for around $0.95
- Set initial credit limit at $0.94, but adjust as needed to roll today
Cost Basis: $60.71
YETI Dec Week Four (12/23) 90 Call
Current Stock Price: $82.37
Cost Basis: $93.20
Action:
- Buy to close the YETI Dec Week Four (12/23) 90 Call for around $0.15
- Sell to open the YETI Jan Week One (1/7) 90 Call for around $0.75
- Set initial credit limit at $0.60, but adjust as needed to roll today
New Cost Basis: $92.60