Commit To Buy BorgWarner At $22.50, Earn 7.1% Using Options
September 21, 2016 at 11:43 AM EDT
Investors considering a purchase of BorgWarner Inc (BWA) shares, but tentative about paying the going market price of $34.44/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2019 put at the $22.50 strike, which has a bid at the time of this writing of $1.60..