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PIPC Update

Here’s where we stand with our Perpetual Income Portfolio Club positions heading into the weekend.

AAPL Feb Monthly (2/19) 133 Put

Apple (AAPL) has hit a bit of a rough patch. The stock continued to sell off this week, dropping around 5%. This was due in part to news that Warren Buffett cut his stake in AAPL by 6% in the fourth quarter of 2020. However, it is still Berkshire Hathaway’s (BRK-B) top holding.

We are on track to be assigned shares and will sell a call against them next week.

Current Stock Price: $129.08

Action: Accept shares

CHWY Feb Monthly (2/19) 112 Put

Chewy (CHWY) appears to have found support in the $110 area. Today’s 4.5% move up took the shares back above our put’s strike.

Our put is on track to expire worthless. We will sell another one next week.

Current Stock Price: $115.28

Action: Watch put expire worthless

GLW Feb Monthly (2/19) 37 Put

Corning (GLW) spiked this week following a positive write-up in Barron’s. The author noted that the glassmaker serves the same end markets as semiconductor companies and is displaying growth on par with that industry, yet GLW’s valuation is well below that of your average chip stock.

Our put is on track to expire worthless. We will sell another one next week.

Current Stock Price: $38.14

Action: Watch put expire worthless

SBUX Feb Monthly (2/19) 107 Put

Starbucks (SBUX) traded within 1% of its previous all-time high this week but then turned lower.

We are on track to be assigned shares and will sell a call against them next week.

Current Stock Price: $103.84

Action: Accept shares

Disclosure: I have positions or trade in and out of AAPL, CHWY, GLW and SBUX.

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