As detailed below, the return-on-investment results for this Cleveland-Cliffs Inc. position was: +6.4% absolute return in 14 days (equivalent to a +167.8% annualized return-on-investment).
Cleveland-Cliffs Inc. (CLF) -- Covered Calls Position Closed
The Buy/Write limit order was executed as follows:
5/23/2022 Bought 500 shares of Cleveland-Cliffs Inc. stock @ $22.31 per share
5/23/2022 Sold 5 CLF June 3rd, 2022 $23.00 Call options @ $.75 per share
06/03/2022 5 CLF Calls closed slightly below the $23.00 strike price @ $22.98 per share, so the 5 CLF Call options expired and 500 Micron shares remained in the Covered Calls Advisor Portfolio.
06/06/2022 Closed out this CLF Covered Calls position by selling 500 shares @ $22.955 per share.
The overall performance result (including commissions) for this Cleveland-Cliffs Covered Calls position were as follows:
Stock Purchase Cost Basis: $10,783.35
= ($22.31 - $.75) * 500 shares + $3.35 commission
Net Profit Components:
(a) Options Income: +$371.65
= ($.75 * 500 shares) - $3.35 commission
(b) Dividend Income: +$0.00
(c) Capital Appreciation (500 CLF shares sold at $22.955 per share): +$322.50
= (+$22.955 -$22.31) * 500 shares
