{"id":8603171,"date":"2014-10-23T09:58:47","date_gmt":"2014-10-23T13:58:47","guid":{"rendered":"http:\/\/www.philstockworld.com\/?post_type=toptrades&p=8603171"},"modified":"2024-10-23T14:20:07","modified_gmt":"2024-10-23T18:20:07","slug":"top-trades-for-thu-23-oct-2014-2","status":"publish","type":"post","link":"https:\/\/www.philstockworld.com\/2014\/10\/23\/top-trades-for-thu-23-oct-2014-2\/","title":{"rendered":"Top Trades for Thu, 23 Oct 2014 09:57"},"content":{"rendered":"
\n

\n\t\tGTATQ came in a 0.58 – that's OK because we're playing for $1<\/strong><\/span>. \n\t<\/p>\n<\/blockquote>\n

\n\tCAT\/1020 – Well revenue was flat so it was stock buybacks and cost-cutting driving the gains.  Still, impressive job by management – that is what you want a company to do with your money.  They bought back $4.2Bn worth (4.2%) of stock this year alone AND pay a 3% dividend ($2.80) – that's like a 7.2% return from financial engineering alone.  They are projecting earnings over $6 next year, for a p\/e of 16 – there's no reason not to own this stock for the long term.  <\/span>\n<\/p>\n

\n\t\n<\/p>\n

\n

\n\t\tAs a new trade on CAT, I'd sell the 2017 $80 puts for $7.30 for a very nice $72.70 net entry.  That's more than the $5.60 dividend you'd make owning the stock for 2 years and a 26% discount if put to you.  That's great as a stand-alone play or it can be paired with the $100\/115 bull call spread at $5.50 and you still have a net $1.80 credit (so net $78.20 entry – 20% off) but 100% of the upside over $100 for the next two years.  \n\t<\/p>\n

\n\t\tThat's going to be a Top Trade!  \n\t<\/p>\n<\/blockquote>\n","protected":false},"excerpt":{"rendered":"

GTATQ came in a 0.58 – that's OK because we're playing for $1.  CAT\/1020 – Well revenue was flat so it was stock buybacks and cost-cutting driving the gains.  Still, impressive job by management – that is what you want a company to do with your money.  They bought back $4.2Bn worth (4.2%) of stock this […]<\/p>\n","protected":false},"author":8,"featured_media":12387615,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[26305],"tags":[],"class_list":{"0":"post-8603171","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-top-trades"},"_links":{"self":[{"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/posts\/8603171","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/comments?post=8603171"}],"version-history":[{"count":0,"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/posts\/8603171\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/media\/12387615"}],"wp:attachment":[{"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/media?parent=8603171"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/categories?post=8603171"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.philstockworld.com\/wp-json\/wp\/v2\/tags?post=8603171"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}