Case Study: AAPL Covered Call Trade

I’m doing a case study on AAPL covered trade. The details of the trade are assumed as follows:

Buy 100 AAPL @ $493.
+Short 1 AAPL May12 510 C @ $23.55

BEP Range:
AAPL $510+$23.55 = $533.55
AAPL $493 -$23.55 = $469.45

Return If Not Exercised:
23.55/493 = 4.77% for 90 days
anualized return = 19.08%.

Return If Exercised:
(510-493) + 23.55 = 40.55
40.55/493 = 8.22% for 90 days,
annualized return = 32.88%

Worst case scenario:
you collect the premium of the call $23.55 per share.

Best case scenario:
you get assigned, thus pocketing $40.55 per share.

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