Closed Out Covered Calls in Newmont Corporation

I established a Covered Calls position in Newmont Corporation (ticker NEM) on February 28, 2024 by a simultaneous buy/write purchase of 600 Newmont shares at $29.65 and sold-to-open 6 March 15th, 2024 $28.50 Call options at $1.42 per share. 400 share were called away by early assignment on the last business day prior to the 3/4/2024 ex-dividend date. The ex-div amount was $.25 per share and since the stock price had increased from its $29.65 purchase price to $31.94 at market close on the day prior to the ex-dividend date and the time value remaining in the Calls was $0.00, a Call owner decided to exercise their option to buy 400 shares at the $28.50 strike price and also capture the March 4th ex-dividend. I was pleased with this early assignment since an annualized-return-on-investment for the 400 Newmont shares sold was +68.1%. A description of this close out transaction was posted on my blog here.

Two hundred shares of my original Newmont Covered Calls position were not exercised early, so this Covered Calls position continued in my Covered Calls Advisor Portfolio -- that is until this afternoon.  This Covered Calls position had an expiration date of this Friday, March 15th.  But the stock price has continued to increase to $34.96 today, so I decided to unwind (i.e. close out) the remaining 200 shares of this Newmont Covered Calls position at a net credit of $28.45, which had only $.05 of time value remaining in this position and with 4 days remaining until the options expiration date.  The annualized return-on-investment achieved for the 200 shares of this Newmont Corp. Covered Calls position was +49.2% for the 12 days duration of this investment.  I decided to close out this position today since the +49.2% result was better than the +41.5% maximum potential annualized-return-on-investment if this Covered Calls position was instead assigned this Friday on its March 15th options expiration date.