Who says you can’t have it both ways — generate income AND enjoy triple-digit option gains?
Well, that’s exactly what you’ve done with Omega Healthcare Investors Inc. (OHI) in just the past few days.
First, you’ll be collecting a .42-cent dividend on the stock as it went ex-dividend on July 27. The dividend itself will be payable on Aug. 15.
Second, Omega Healthcare yesterday reported second quarter 2012 adjusted FFO (funds from operations) of 53 cents per share beating the consensus estimate by 2 cents.
That boosted the stock so that your remaining December $25 call options, which are now exactly up 100% in less than three weeks. You’ve already booked 57.1% gains on July 19.
This also marks your first triple digit gainer in Dividend Pro.
So, I’m recommending you sell your remaining Omega Healthcare options here to lock in your gains.
Nicholas VardyNicholas Vardy has a unique background that has proven his knack for making money in different markets around the world. He was the Editor of The Global Guru, a free weekly e-newsletter, and also edited the trading services Momentum Trader Alert, which focused on making short-term profits in the hottest markets in the world, and The Alpha Algorithm, which was designed specifically to deliver big, fast triple-digit winners, month after month. He was also the editor of Smart Money Masters, a monthly service focused on longer term investments recommended by the brightest minds in the business. Mr. Vardy has been a regular commentator on CNN International and the Fox Business Network. He has also published articles in The New Republic, The World and I, and The Baker & McKenzie Legal Review. The Global Guru/Nicholas Vardy has been cited in The Wall Street Journal, Newsweek, Fox Business News, CBS MarketWatch, Yahoo! Finance, and MSN Money Central. Mr. Vardy graduated from Stanford with a B.A. — with honors and distinction — in both Economics and History, and he also earned an M.A in Modern European Intellectual History. After winning a Fulbright Scholarship, he earned a J.D. degree at Harvard Law School where he was an editor of the Harvard International Law Journal. When not uncovering investment opportunities for his subscribers and investors, Mr. Vardy is a keep-fit enthusiast and an avid student of classical music.