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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: gdichaz who wrote (35574)	7/18/1999 3:32:00 PM
From: PAL	Respond to of 152472

Chaz, QCOM is a L/T investment. I would not dream to sell it in the forseeable future. Will we are enjoyng the stock price to keep rising, what better way to earn extra money by selling naked puts on the stock? For example, a few days ago I sold QCOM August 150 puts at 15 1/4. The premium has dropped to 9 1/4 and the option is now out of the money. Should - and I think it definitely would with earnings and SP500 - QCOM stock stays above 150 by August 20th, that $ 15 1/4 per share premium is for to keep. Multiply that by X contracts you get 100X times 15 1/4: wow, after taxes, you still have plenty of money to buy more QCOM, which will help the stock even higher, and the new naked puts will have the premium evaporating again. Best regards Paul