What does this mean?

[moneymakers]

Walmart Stores (WMT) PriceWatch Alert Up To 11.82% Downside Protection

Posted on Wednesday, February 18, 2009 8:07 AM

Walmart Stores (NYSE: WMT) ended the last trading session at $48.24. So far the stock has hit a 52-week low of $46.25 and 52-week high of $63.85. Walmart Stores stock has been showing support around 46.56 and resistance in the 49.72 range. Technical indicators for the stock are Bearish and S&P gives WMT a very positive 5 STAR (out of 5) strong buy rating. WMT appears on the Investors Observer Analysts Favorites list. For a hedged play on this stock, look at a Jun '09 45 covered call (WMT FI) for a net debit in the $42.54 area. That is also the break even stock price for this trade. This covered call has a 122 day duration, provides 11.82% downside protection and a 5.78% assigned return rate for a 17.30% annualized return rate (comparison purposes only). A lower cost hedged play for this stock would use a longer term call option in place of the covered call stock purchase. To use this strategy look at going long the WMT Jan '10 30 Call (WWT AF) and selling the Jun '09 45 call (WMT FI) for a $13.50 debit. The trade has a 122 day life and would provide 9.83% downside protection and an 11.11% assigned return rate for a 33.00% annualized return rate (for comparison purposes only). Walmart Stores has a current annual dividend yield of 2.04%. [For more information on these strategies along with more details on possible risks go to www.iotogo.com/HPWAinfo]

 

http://www.marketintelligencecenter.com/articles/769457

[The Holy Roller]

I likes me some Wal-Marts.

 

Until China no longer will sell the U.S. anything because dollars are worthless.

[polksalet]

No one knows what that means. I sold all of mine and bought some undervalued land.