Established Covered Calls in Nvidia Corporation

This morning a short-term Covered Calls position was established in Nvidia Corporation (ticker NVDA). Two hundred shares were purchased at $107.08 and two September 13th, 2024 weekly Call options were sold at the $105.00 strike price at $4.22 per share--a buy/write net debit transaction of $102.86 per share which provides a $2.14 per share time value profit potential.  As I prefer, the next quarterly earnings report on November 26th is after the September 13th options expiration date. 

As detailed below, a potential return-on-investment result is +2.1% absolute return-on-investment (equivalent to +84.5% annualized return-on-investment for the next 9 days) if the Nvidia share price is in-the-money (i.e. above the $105.00 strike price) and therefore assigned on its September 13th, 2024 options expiration date.

 
Nvidia Corporation (NVDA) -- New Covered Calls Position

The buy/write transaction was as follows:
9/4/2024 Bought 200 Nvidia Corporation shares at $107.08.

9/4/2024 Sold 2 NVDA Sept 13th, 2024 $105.00 Call options @ $4.22 per share.
9/12/2024 Upcoming ex-dividend of $.01 per share.

A possible overall performance result (including commissions) for this Nvidia Corporation Covered Calls position is as follows:
Covered Calls Net Investment: $20,573.34
= ($107.08 - $4.22) * 200 shares + $1.34 commission

Net Profit:
(a) Options Income: +$842.66
= ($4.22 * 200 shares) - $1.34 commission
(b) Dividend Income: +$2.00  = $.01 X 200 shares
(c) Capital Appreciation (If 200 Nvidia shares assigned at the $105.00 strike price at expiration): -$416.00
+($105.00 - $107.08) * 200 shares

Total Net Profit Potential (If 200 Nvidia shares assigned at $105.00 strike price at expiration): +$428.66
= (+$842.66 options income + $2.00 dividend income - $416.00 capital appreciation)

Potential Absolute Return-on-Investment: +2.1%
= +$428.66/$20,573.34
Potential Annualized Return-on-Investment: +84.5%
= (+$428.66/$20,573.34) * (365/9 days)