Covered Calls on Exxon Mobil (XOM)
Exxon is trading above $101 right now. The June 27 $102 call sells for $1.35. If XOM stock gets called away, you get a 1.34% return for a five-week holding period. That might not sound like much, but it translates to a 13.9% annualized return.
Since Exxon Mobil isn’t expected to report earnings until late June, you could even sell the July $105 call for 71 cents, just to goose the returns a little bit more and capture a large capital gain if called away.
The covered calls here are easy, conservative plays.