Commit To Purchase American Railcar Industries At $45, Earn 15.5% Annualized Using Options

Investors eyeing a purchase of American Railcar Industries Inc (ARII) stock, but cautious about paying the going market price of $55.72/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the March 2016 put at the $45 strike, which has a bid at the time of this writing of $2.20..