Abbot Laboratories: A Healthy Dividend Aristocrat [View article]
DGI, selling a covered call doesn't limit your upside. If the stock gets called away, if you like it just buy it again. If it was sold at a profit there's no wash sale issues.
Of course, there may be some cap gains tax due on the sale and the commissions to rebuy. Those may be offset by the extra earnings from the (periodic and regular) covered calls.
Looks to me like Barron's is really reaching to find stats that show stocks are cheap. S&P is forecasting 2010 As Reported earnings for the 500 at about $40 which puts the P/E for the index around 17-18. Hardly cheap, arguably expensive.
PS: The 2009 forecast is so abysmal I"m ignoring it.
10 Dividend Stocks for Enterprising Investors [View article]
www.gopresto.com/infor...
On Nov 07 10:46 AM User 168560 wrote:
> NPK, National Presto, according to TD Ameritrade and Yahoo Finance
> pays a dividend of $1.00! Not $4.55.
Abbot Laboratories: A Healthy Dividend Aristocrat [View article]
Of course, there may be some cap gains tax due on the sale and the commissions to rebuy. Those may be offset by the extra earnings from the (periodic and regular) covered calls.
Barron's Calls a Bottom [View article]
PS: The 2009 forecast is so abysmal I"m ignoring it.