Commit To Buy Depomed At $14, Earn 24.2% Annualized Using Options

Investors eyeing a purchase of Depomed Inc (DEPO) shares, but cautious about paying the going market price of $15.90/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the September put at the $14 strike, which has a bid at the time of this writing of $2.10..