Early Assignment of APA Corporation and CVS Health Corporation Covered Calls Positions

Early this morning, I was notified via email from my broker (Schwab) that my Covered Calls positions in APA Corporation (ticker APA) and CVS Health Corporation (ticker CVS) were closed out by early assignment yesterday which is the day before today's ex-dividend date for both companies.  APA has increased from a purchase price three days ago of $36.24 to $38.03 yesterday and CVS has increased from $70.57 to $74.38.  There was very little time value remaining in the Call options for both companies, so with eight days remaining until the July 28th options expiration date for both positions, the Call owners decided to exercise their Calls early to capture today's ex-dividend.  The Calls expired worthless and the stocks were sold at their respective strike prices with the following results:

1. APA Corporation (APA) -- I had owned 500 APA shares and sold five July 28th, 2023 $35.00 Calls and today's ex-dividend amount is $.25 per share.  This position achieved +1.3% absolute return (equivalent to +154.9% annualized return-on-investment) for the 3 days of this investment.  The original blog post details when this position was established are here. 

2. CVS Health Corporation (CVS) -- I had owned 400 CVS shares and sold three July 28th, 2023 $69.00 Calls and today's ex-dividend amount is $.605 per share.  This position achieved +0.4% absolute return (equivalent to +48.4% annualized return-on-investment) for the 3 days of this investment.  The original blog post details when this position was established are here.

I welcome your questions or feedback at the email address below on anything related to the Covered Calls investing strategy.  

Best Wishes and Godspeed,

Jeff Partlow
The Covered Calls Advisor
partlow@cox.net