Shares of KORS were assigned over the weekend at 62.00.
music selection: “Making Love Out Of Nothing At All” — Air Supply
weigh-in: 201.4 +1.0
KORS looked like it was going to expire out of the money and then fell unexpectedly on the last day of the contract, resulting in assignment. I am writing covered calls against the position for income. Today, I sold KORS180615C00062500 for 2.70 a share. The trade will be in force for 40 days and yields an expected 39.74% annualized against my cost basis of 62. If the shares are called away, I will earn an additional 50 cents a share in capital gains, resulting in an annualized return of 47.10%.
I am not making any other trades this week. I hope to prune my exposure over the coming months now that the benchmark 10-year Treasury has passed 3%.
Devour your prey raptors!