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Actionable news in QCOM: QUALCOMM Incorporated,

Agree To Buy Qualcomm At $25, Earn 2.9% Using Options

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Investors considering a purchase of Qualcomm, Inc. (Symbol: QCOM) stock, but tentative about paying the going market price of $51.80/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2018 put at the $25 strike, which has a bid at the time of this writing of 72 cents. Collecting that bid as the premium represents a 2.9% return against the $25 commitment, or a 1.9% annualized rate of return (at Stock Options Channel we call this the YieldBoost ).

Selling a put does not give an investor access to QCOM's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. And the person on the other side...


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