Dollar Tree (DLTR): Naked Puts
The first choice for this month is Dollar Tree (DLTR), and I’ll use naked puts for this one.
DLTR stock is one of my go-to choices in this department because it usually offers good premiums. It also is a stock that, if put to me, I’m happy to own because it’s a solid company. Even though Dollar Tree’s last earnings report wasn’t stellar, it still is one of the top names in the dollar store arena and has solid financials. I don’t worry about having a lemon of a stock put to me.
DLTR stock closed last Friday at $54.33. The April 55 Puts go for $1.70. I’ll sell two of these contracts and net out $340.