ED

[oldnemesis]

http://www.insidermonkey.com/blog/c...rement-income-with-a-4-dividend-yield-405356/

http://ewweb.com/videos/inside-coned-jim-cramers-mad-money-qa-coned-ceo-jon-mcavoy

http://finance.yahoo.com/echarts?s=ED+Interactive#{"range":"5y","allowChartStacking":true}

Trade:
With ED at 65.49
Jan '17 52.5/50 bull put spread for a net credit of $25
Yield = 25/225 = 11.1% in 387 days or 10.5% annualized
Prob = 89%
Expectation = .89(25) - .07(225) - .04(112) = 22.25 - 15.75 - 4.48 = 2.27

Price ...........Profit / Loss.......... ROM %
37.50............. (225.00)............. -88.90%
46.00............. (225.00)............. -88.90%
50.00............. (225.00)............. -88.90%
52.25................. 0.00.................. 0.00%
52.50............... 25.00................. 11.00%
54.94............... 25.00................. 11.10%
63.89............... 25.00................. 11.10%
72.83............... 25.00................. 11.10%
81.78............... 25.00................. 11.10%

filled at 30... considerably better than 4%, and the worst that could happen is you would buy ED at 52.5

 

[oldnemesis]

Reminds me of sitting in a little restaurant on 42nd street eating breakfast and reading the New York Times....and The Daily News.

 

[oldnemesis]

Update:

http://finance.yahoo.com/news/con-ed-beats-4q-profit-224342435.html

http://stockcharts.com/h-sc/ui?s=ed

ED is 71 and change after the close.