Commit To Purchase Nationstar Mortgage Holdings At $20, Earn 11.5% Using Options
July 03, 2014 at 12:02 PM EDT
Investors considering a purchase of Nationstar Mortgage Holdings Inc (NSM) stock, but cautious about paying the going market price of $34.59/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2016 put at the $20 strike, which has a bid at the time of this writing of $2.30..