Established Covered Calls Position in Las Vegas Sands Corporation

This afternoon a short-term Covered Calls position was established in Las Vegas Sands Corporation (ticker LVS). Four hundred shares were purchased at $50.01 and four January 19th, 2024 Call options were sold at the $48.50 strike price at $1.95 per share--a buy/write net debit transaction of $48.06 per share which provides a $.44 per share time value profit potential. 

As detailed below, a potential return-on-investment result is +0.9% absolute return-on-investment (equivalent to +32.9% annualized return-on-investment for the next 10 days) if the Las Vegas Sands Corporation share price is in-the-money (i.e. above the $25.50 strike price) and therefore assigned on its January 19th, 2023 options expiration date.

 
Las Vegas Sands Corporation (LVS) -- New Covered Calls Position 

The Buy/Write transaction was as follows:
1/9/2024 Bought 400 shares of Las Vegas Sands Corporation @ $50.01 per share.  
1/9/2024 Sold 4 LVS Jan. 19th, 2024 $48.50 Call options @ $1.95 per share.  

A possible overall performance result (including commissions) for this Las Vegas Sands Corporation Covered Calls position is as follows:
Covered Calls Net Investment: $19,226.68
= ($50.01 - $1.95) * 400 shares + $2.68 commission

Net Profit:
(a) Options Income: +$777.32
= ($1.95 * 400 shares) - $2.68 commission
(b) Dividend Income: +$0.00
(c) Capital Appreciation (If 400 Las Vegas Sands Corporation shares assigned at $48.50 strike price at expiration): -$604.00
+($48.50 - $50.01) * 400 shares

Total Net Profit Potential (If 400 Las Vegas Sands shares assigned at $48.50 strike price at expiration): +$173.32
= (+$777.32 options income +$0.00 dividend income -$604.00 capital appreciation)

Potential Absolute Return-on-Investment: +0.9%
= +$173.32/$19,226.68
Potential Annualized Return-on-Investment: +32.9%
= (+$173.32/$19,226.68) * (365/10 days)