{"id":13728,"date":"2023-08-23T11:13:02","date_gmt":"2023-08-23T15:13:02","guid":{"rendered":"http:\/\/www.mainstbeatswallst.com\/?page_id=13728"},"modified":"2023-08-23T11:16:11","modified_gmt":"2023-08-23T15:16:11","slug":"sold-marvell-call-mpw-dividend-reduced","status":"publish","type":"page","link":"https:\/\/www.mainstbeatswallst.com\/?page_id=13728","title":{"rendered":"Sold 2 Marvell Calls\/MPW Dividend Reduced"},"content":{"rendered":"

I would like to welcome our new readers. Welcome to Main Street beats Wall Street<\/strong>.<\/p>\n

I own 200 shares of Marvell (MRVL) ant $63.48. As I write the stock is at $61.20. I just sold a 2 contract Call.<\/p>\n

MRVL will announce earnings tomorrow and I feel it will be a beat. I normally don’t make moves on stocks that have news coming out, especially earnings, but I’m in the stock and the stock is below my but-in price. I’m gonna hold it through earnings so I decided to take in a small premium. Since I feel the stock will go up tomorrow as a result of their earnings report I sold a bit Out-of-the-Money. With the stock at $61.20 I sold the $69 Call. I don’t think the stock will go up to $69 but if it does and I get assigned I’m in the stock at $63.48 so I’ll make a nice profit. If they don’t beat the Street and the stock drops I’m in the stock anyway.<\/p>\n

I sold 2 contracts of the 8\/25\/23 $69 Call for a premium of 70\u00a2 which gave me a $140 premium.<\/p>\n

Sell to Open 2 MRVL 8\/23\/23 $69.00\u00a0C @ 70\u00a2 (+$140) \u00a0<\/span><\/p>\n

 <\/p>\n

With this $140 premium I bought 20 shares of one of Pimco Income Strategy (PFN) which is one of my high dividend holdings. I now own 320 shares of PFN which is \u00a0paying me a dividend of 12.2% annually. PFN pays their dividend monthly.<\/p>\n

While I’m on dividend stocks let’s look at Medical Properties Trust (MPW). I own 1800 shares of this stock which has been paying me a 10% dividend. This week, to my disappointment MPW reduced its dividend from 29\u00a2 quarterly to 15\u00a2. This reduction was anticipated, however, still very disappointing. I will now receive a dividend of 5.5%. When investing in high dividend stocks getting a 50% reduction does not make me happy but many times with these types of stocks its expected. I will enjoy a 5.5% return until I figure out where I want to put this money, if I move it.<\/p>\n

With my dividend I reinvest my dividends. The first move I made was to stop the reinvestment and I’ll take the dividend in cash. When it enters my account I will buy shares of my other high dividend stocks, The ones I’m holding right now are PFN and NeubergerBergman Next Generation Fund (NBXG). They are both paying me a 12.2% yield.<\/p>\n

I do feel MPW will pop a little because it’s still paying a nice dividend at the price it’s at. As I write it’s up 20\u00a2 and the stock is at $6.97. At this price the dividend is 8.6%. It’s still a great return. My return is a little lower because I’m in the stock at a higher price.<\/p>\n

If you have any questions on my moves please send me an email.<\/p>\n

 <\/p>\n

Successful trading,<\/p>\n

Steve<\/p>\n

The Options Coach<\/p>\n","protected":false},"excerpt":{"rendered":"

I would like to welcome our new readers. Welcome to Main Street beats Wall Street. I own 200 shares of Marvell (MRVL) ant $63.48. As I write the stock is at $61.20. I just sold a 2 contract Call. MRVL will announce earnings tomorrow and I feel it will be a beat. I normally don’t […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"class_list":["post-13728","page","type-page","status-publish","hentry"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/P75MP0-3zq","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13728","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=13728"}],"version-history":[{"count":3,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13728\/revisions"}],"predecessor-version":[{"id":13731,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13728\/revisions\/13731"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=13728"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}