Labcorp

[oldnemesis]

LH
http://finance.yahoo.com/news/labcorp-well-poised-covance-buyout-172505801.html

http://finance.yahoo.com/news/currency-dampener-labcorp-lh-q3-204808613.html

http://finance.yahoo.com/q/ks?s=LH+Key+Statistics

http://finance.yahoo.com/q/co?s=LH+Competitors

http://finance.yahoo.com/echarts?s=LH+Interactive#{"range":"2y","allowChartStacking":true}

http://finance.yahoo.com/q/is?s=LH&annual

http://www.msn.com/en-us/money/stockdetails/financials/fi-126.1.LH.NYS

LH does not offer a dividend

LH closed on Friday at 111.95

Trade:
May 95/90 bull put spread for a net credit of $65
Yield = 65/435 = 14.9% in 209 days or 26% annualized
Prob = 76%

Price........... Profit / Loss......... ROM %
65.00............. (435.00)............. -85.10%
80.00............. (435.00)............. -85.10%
90.00............. (435.00)............. -85.10%
94.35.................. 0.00................. 0.00%
95.00................ 65.00................ 14.90%
100.00.............. 65.00................ 14.90%
110.00.............. 65.00................ 14.90%
125.00.............. 65.00................ 14.90%
130.00.............. 65.00................ 14.90%




I will revise this plan on Monday after I see earnings and the market reaction to earnings. I actually don't expect any surprise on either front...but we'll see.