We have been publishing our reworked Covered Call Corner screens since May of this year. I have been transacting these on my own account and have pulled together a monitor to keep track of these transactions.
Several of the options highlighted in the May Covered Call Corner screen expired last Friday, realizing the expected profits in both cases.
For the two most seasoned tranches of investment selections – those published in May and June – the average price at yesterday’s close was 12% higher than the average Effective Buy Price. The stocks with the highest gains – ADT ADT (36%), MBIA MBI (31%), and Assured Guaranty AGO (29% from May, 23% from June) – certainly would have made good straight stock investments. We will check option pricing and close these investments if we can get good prices.
The underperforming companies are generally underperforming only modestly. Two companies are trading just at our EBPs, two others are 5% or below the EBP, and one – Adient ADNT – a firm about which I posted a follow-up article, is 12% below our EBP. The Adient transaction is due to expire in about two months, and we will reconsider our position in it at that time.
The options we have transacted on our own account are highlighted on the sheet in blue. In July, I was so pressed for time that Joe stepped in to pull together the list and I still have not transacted for the names on that list or those identified in August. I will start executing those candidates whose EBPs continue to be attractive compared to the buy prices reported by the respective portfolio managers. Expect updates about those transactions over the next few days.
Also, this spreadsheet’s “Present Stock Px” field are hard-coded with those at yesterday’s close. For those of you who have access to YCharts data plug-in, please drop me a line and I’ll send you a copy that has live pricing.
Some columns are grouped together – you can click the “+” icons to see the data in those columns. If you have any questions about the sheet, please do not hesitate to contact me.