I am recommending we roll our Peloton Interactive (PTON) positions to avoid assignment and ladder up our Starbucks (SBUX) put for more cash.
PTON Nov Monthly (11/20) 115 Put
Current Stock Price: $101.43
Cash in Hand: $0.77
Action:
- Buy to close the PTON Nov Monthly (11/20) 115 Put for around $13.60
- Sell to open the PTON Dec Week One (12/4) 115 Put for around $15.40
- Set initial credit limit at $1.80
New Cash in Hand: $2.57
PTON Nov Monthly (11/20) 115/105 Put Spread
Cash in Hand: $1.31
Action:
- Buy to close the PTON Nov Monthly (11/20) 115 Put for around $13.60
- Sell to close the PTON Nov Monthly (11/20) 105 Put for around $4.75
- Set initial debit limit at $8.85
- Sell to open the PTON Dec Week One (12/4) 95 Put for around $3.28
- Buy to open the PTON Dec Week One (12/4) 85 Put for around $1.03
- Set initial credit limit at $2.25
New Net Debit: $5.29
SBUX Nov Monthly (11/20) 92.50 Put
Current Stock Price: $99.29
Net Debit: $9.82
Action:
- Buy to close the SBUX Nov Monthly (11/20) 92.50 Put for around $0.05
- Sell to open the SBUX Nov Monthly (11/20) 97.50 Put for around $0.26
- Set initial credit limit at $0.21
New Net Debit: $9.61
