I bought 1000 shares of Marvell (MRVL) back on 11/11/19. MRVL is a stock I expect a lot from with 5G upon us. Last week I sold a 10 contract Call against these shares to bring in some premium money. This is one I don’t want to get assigned on. After I sold the Call the stock went up putting my Call In-the-Money. Which means the stock is above the Strike Price of the Call, in position to be assigned. Today the stock’s down to where the stock is below my Strike so I took the opportunity to cover this Call with another 1000 shares. Now, if assigned, I will continue owning 1000 shares for a 5G move later in the year. If I don’t get assigned I’ll be holding 2000 of MRVL.
Buy 1000 Shares MRVL @ $27.65
On a different note, 1/17/20 was Pay Date for a small MRVL dividend. MRVL is not in my Double Dipping Portfolio but it does pay a dividend. I have MRVL enrolled in dividend reinvestment so my dividend was paid in shares. On 1/17/20 I received 2.11 shares of MRVL. At this point I own 2002.11 shares of MRVL. I’ll take the 2 shares! Hopefully they’ll grow.
Marvell has a dividend of a little less than 1%. You will see the shares grow much more with the stock in the Double Dipping Portfolio because the dividends are much higher.
Successful trading,
Steve
The Options Coach