Tuesday, March 12, 2019

WHR Big Call Income

This call is hard to beat.  Expiration is out a little further than I would like but it captures the hefty dividend if this call like 90% of them ends up expiring. 

Whirlpool, symbol WHR, has a lot of hair.  Earnings are challenged and they have quite a bit of debt. 

On the positive side, they pay a good dividend.  WHR increases the dividend and their revenues are hanging in there despite international issues such as currency.

Look at the income from this call.  The premium alone is over 3% nearly doubling the amount you pocket when you include a full year of dividends.  If they take the call so be it.  We book a gain and get out of stock that has its issues.

I don't think WHR will go belly up but it could with all the challenges in the world.  However, I am going to continue to agitate for income by selling calls against low buys.

M* MoneyMadam

Disclosure:  I am long WHR and a bit underwater.  I have sold a lot of calls particularly when I add very low.