Optionspuppy
2023-03-10
Reward Tiger-CoinsReward 400 Tiger-coins
$Microsoft(MSFT)$ earn 1% per month Trade it using sell put at 220 with a buffer of $30 drop 

Price options 

selling put option of 220 in one month time earns2.2 of premium which works out as 1% Microsoft is a value buy at $220 if u are selling put and really get assigned . Earnings of Microsoftis around $9 plus if it's priced at 250 the PE is 27 times but if priced at 220 is lower at 24 times .That's why having the buffer is important 


Company strengths 

Microsoft (MSFT) has been one of the most consistently profitable and innovative technology companies in the world for decades. With its strong financial performance, excellent management team, and diverse range of products and services, Microsoft has become a favorite of investors looking to sell straddle call and put options.

For those unfamiliar with the term, a straddle is a trading strategy that involves selling both a call option and a put option with the same strike price and expiration date. By selling both options simultaneously, traders can profit from the premium they receive while limiting their risk.

Here are some reasons why Microsoft can be a good stock to sell straddle call and put options on:

Stable and Predictable Performance

Microsoft has an impressive track record of delivering stable and predictable financial results. The company has consistently grown its revenue and earnings over the past several years, thanks to its diversified portfolio of products and services, which includes Windows, Office, Xbox, and Azure.

This stability and predictability make Microsoft an attractive option for those looking to sell straddle options. Because the company's financial performance is relatively steady, there is a lower likelihood that the stock will experience sudden, unexpected movements that could result in significant losses for straddle sellers.

Large Market Capitalization

With a market capitalization of over $2 trillion, Microsoft is one of the largest and most valuable companies in the world. This size and scale give the company a competitive advantage in the technology sector, as it has the resources and expertise to invest heavily in research and development, marketing, and other areas that drive growth.

For investors selling straddle options, this large market capitalization can be reassuring. Because Microsoft is such a significant player in the technology industry, it is less likely to experience extreme price swings that could result in significant losses for straddle sellers.

Strong Management Team

Microsoft's management team is widely regarded as one of the best in the technology sector. Led by CEO Satya Nadella, the company has a reputation for making smart strategic decisions, investing in the right areas, and delivering consistent results.

For investors selling straddle options, this strong management team can be a significant advantage. Because Microsoft is well-managed, there is less likelihood that the company will make a major misstep that could lead to a sudden drop in stock price.

Diversified Product Portfolio

One of Microsoft's strengths is its diverse range of products and services. From operating systems to cloud computing to gaming, the company has a broad portfolio that appeals to a range of customers and markets.

For investors selling straddle options, this diversification can be beneficial. Because Microsoft's revenue is spread across multiple business lines, it is less likely that a sudden shift in one area of the company will result in significant losses for straddle sellers.

In conclusion, Microsoft is a solid choice for investors looking to sell straddle call and put options. With stable and predictable financial performance, a large market capitalization, a strong management team, and a diversified product portfolio, the company is well-positioned to weather market fluctuations and deliver consistent results. However, as with any investment strategy, it is important to conduct thorough research and analysis before making any trading decisions.

Dear tiger readers Please help to share post also clicking the repost button and follow me as I published my post on my ideas and trading experiences and sometimes including my current dividend positions and winning sell call and put trades . Do follow me share my posts regularly So more people can learn about my trading methods and winning trades on selling covered calls and puts options I share my options trade below usually I sell at a higher price then buy back at a lower price for a profit

I also try to reward the first 100 commenters at least 2 coins who also help me repost and like the article

Dear @@Daily_Discussion @TigerEvents @TigerStars hope you can feature me and more people can trade options to earn more .


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Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
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Comments

  • Kyesu
    2023-03-10
    Kyesu
    Win 1 Tiger-coins
    Read and thanks
  • LTKalien
    2023-03-10
    LTKalien
    Win 1 Tiger-coins
    short straddle, 1 preferred condition is low volatility. with a jittery Fri, won't this be of much higher risk?
  • bs6969
    2023-03-10
    bs6969
    Win 388 Tiger-coins
    Is a nice article i love Microsoft and handsome daddy bill gatws
  • Aqa
    2023-03-11
    Aqa
    Win 2 Tiger-coins
    Thanks for sharing. Looking for your rewad article to reply but u already gave out 389. Nothing left!šŸ¤­
  • jeffry09
    2023-03-11
    jeffry09
    Win 1 Tiger-coins
    a recession is coming. And MSFT is far from immune.
  • 0QH
    2023-03-11
    0QH
    Win 1 Tiger-coins
    Great ariticle, would you like to share it?
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