December 6, 2012 5:23 PM | 1 min read |
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
Shares of Geo Group (NYSE: GEO) and Einstein Noah Restaurant (NASDAQ: BAGL) traded sharply higher after-hours on Thursday following the companies' announcements that they would pay special dividends.Geo Group is paying a special dividend of $5.68, while Einstein Noah Restaurant will pay a dividend of $4.Geo Group and Einstein are just two more companies in a long list that have opted to pay out special dividends ahead of the “fiscal cliff” -- a legally mandated package of spending cuts and tax hikes. Other companies have included Las Vegas Sands (NYSE: LVS) and Strum, Ruger (NYSE: RGR). A few companies have taken an alternative route, instead accelerating their dividend payouts -- Walmart (NYSE: WMT) said it would pay its next dividend in December, rather than January.While the resolution to the fiscal cliff is, as of yet unknown, it is widely assumed that taxes will increase on higher income earners. And of course, if congress fails to resolve the cliff, the taxes will go up anyway. Thus, many companies may be opting to payout capital to shareholders now when it will be taxed at a lesser rate.
27% profit every 20 days?
This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.
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