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Sold 1 Call Option on WBA – 0.24% potential income return in 7 days
On December 03, 2021, I sold 1 call option on WBA stock with a strike price of $47.5 and expiry next Friday.
Walgreens Boots Alliance, Inc. is a holding company headquartered in Deerfield, Illinois that owns the retail pharmacy chains Walgreens and Boots, as well as several pharmaceutical manufacturing, wholesale, and distribution companies.
This is not trading advice. Investments in stocks, funds, bonds, or cryptos are risk investments and you could lose some or all of your money. Do your due diligence before investing in any kind of asset.
here is the trade setup:
SLD 1 WBA DEC 10 '21 47.5 Call Option 0.14 USD
What happens next?
On the expiry date, December 10, 2021, WBA is trading under $47.5 per share - options expire worthlessly and I keep premium - if WBA trades above $47.5 I'm troubled as I need to deliver shares I don’t have, to avoid such scenario I will roll up and forward my strike price
Break-even price: $47.5+$0.11= $47.66