Agree To Buy Signet Jewelers At $105, Earn 4.2% Annualized Using Options

Investors considering a purchase of Signet Jewelers Ltd (SIG) shares, but cautious about paying the going market price of $134.08/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the July 2016 put at the $105 strike, which has a bid at the time of this writing of $2.80..