Established Covered Call in Meta Platforms Inc.

Today a Covered Call position of 11 days duration was established in Meta Platforms Inc. (ticker META).  My net buy/write limit order at $625.96 was executed by simultaneously purchasing one hundred shares at $642.08 and selling one December 26th, 2025 weekly Call option at the $635.00 strike price at $16.12 per share, which provides a $9.04 per share = [$16.12 Call option premium received - ($642.08 stock purchase price - $635.00 option strike price)] time value profit potential.  A moderately in-the-money Covered Call position was established for my new position with the probability that Meta's stock will close in-the-money on the 12/26/2025 options expiration date was 59.4% when this transaction was executed.  I chose a Covered Call (CC) instead of selling a Cash-Secured Put (CSP) since the $9.04 time value in the CC was substantially higher (and thus provides a higher potential return-on-investment) than the comparable $8.05 for the CSP when this position was established.  As preferred, the next earnings report on January 28th, 2026 is after the 12/26/2025 options expiration date. 

Meta is currently my second highest ranked megacap company (behind only NVIDIA).  The table below shows my comparison of the highest 7 market cap companies (all of which are tech-related) in the S&P 500 index.  Of these 7 companies, I now own positions in each of the top 4 companies shown below in the column labeled as "My Overall Ranking".

         

As detailed below, a potential return-on-investment result for this Meta Covered Call position is +1.4% absolute return-on-investment (equivalent to +47.9% annualized return-on-investment for the next 11 days) if Meta's share price is in-the-money (i.e. above the $635.00 strike price) and therefore assigned on its December 26th, 2025 options expiration date.  

Meta Platforms Inc. (META) -- New Covered Call Position

Today's buy/write net limit order transaction was as follows:
12/15/2025 Bought 100 Meta Platforms shares at $642.08.

12/15/2025 Sold 1 Meta 12/26/2025 $635.00 Call option @ $16.12 per share.  The Implied Volatility of these Calls was 26.7% when this position was established.  

A possible overall performance result (including commissions) for this Meta Covered Call position is as follows:
Covered Calls Net Investment: $62,596.67
= ($642.08 - $16.12) * 100 shares + $.67 commission

Net Profit:
(a) Option Income: +$1,611.33
= ($16.12 * 100 shares) - $.67 commission
(b) Dividend Income: +$0.00
(c) Capital Appreciation (If 100 Meta shares assigned at the $635.00 strike price at expiration): -$708.00
+($635.00 strike price - $642.08 stock purchase price) * 100 shares

Total Net Profit Potential (If 100 Meta shares in-the-money and therefore assigned at the $635.00 strike price at the options expiration date): +$903.33
= (+$1,611.33 option income + $0.00 dividend income - $708.00 capital appreciation)

Potential Absolute Return-on-Investment: +1.4%
= +$903.33/$62,596.67
Potential Annualized Return-on-Investment: +47.9%
= (+$903.33/$62,596.67) * (365/11 days)