Thursday, September 17, 2009

Closing Transaction - Lockheed Martin (LMT)

As I have mentioned in my recent posts, as I was going to be on vacation the week following options expiration in September, I closed or rolled-out many of my positions the previous week. Lockheed Martin was one of the positions which I closed, after it jumped about 5% at the end of expiration week. I had originally opened the position in Lockheed to capitalize on the dividend, but also because it was a solid company. I would not hesitate to re-open the position of LMT fell back below $75 and I had funds available. The final profit/loss info is below:

8/25/2009 -- Bought 100 LMT @ 74.30
8/25/2009 -- Sold To Open 1 LMT September $75 Call @ 1.30
8/28/2009 -- Dividend @ 0.57
9/17/2009 -- Bought To Close 1 LMT September $75 Call @ 3.40
9/17/2009 -- Sold 100 LMT @ 78.32

The important purchase metrics are below for insight into possible profit and loss (these all include commissions):
Cost Basis: 7300.00

Final Gain: 3.41%
Annualized Gain: 54.13%

No comments:

Post a Comment