As we alerted you recently, we are closing the Perpetual Income Portfolio Club, effective tomorrow. However, all trades will be managed to their proper conclusion, and I’ll continue to send alerts as needed until all positions are closed. Our customer care team will be reaching out to all of you with membership choices and any other relevant details in the next few days.
For those of you who currently own shares of General Motors (GM) uncovered, I am recommending a call to sell today.
The company is expected to announce earnings on Wednesday. I believe the automaker will exceed expectations for income and margins, although it may miss on revenue. None of that, however, is as important as the company’s forecast for the rest of the year and how the chip shortage will play out.
Premiums are huge and I want to grab the cash while we can.
Current Stock Price: $56.88
Action: Sell to open the GM Aug Week One (8/6) 57 Call
Current Option Price: $1.60-$1.68
Recommended Limit: Set your initial limit order at $1.64, but adjust as needed to sell a call today
And here’s where we stand with our other Perpetual Income Portfolio Club positions heading into the weekend.
Note that since we do not currently have a position on Apple (AAPL), there will be no additional trades on the stock.
CHWY Jul Week Five (7/30) 80 Put
Chewy (CHWY) is selling off today but is holding well above our strike price. I am incredibly bullish on the company and the stock. While this is our last trade together on CHWY in this service, this is a name I plan to continue trading for the foreseeable future.
Current Stock Price: $84.59
Action: Watch put expire worthless
TWTR Jul Week Five (7/30) 68 Put
Twitter’s (TWTR) post-earnings pop was followed by a sell-off. Shares regained some ground later in the week but appear to be struggling with the $70 level. Our put is on track to expire worthless, and this is the last trade we will make together in this service on TWTR.
Current Stock Price: $70.15
Action: Watch put expire worthless
Disclosure: I have positions or trade in and out of AAPL, CHWY, GM and TWTR.