Early Assignment of Covered Calls Position in The Walt Disney Company

I was notified via email early this morning by my broker (Schwab) that the three Walt Disney Company (ticker DIS) December 26th, 2025 Call options were exercised yesterday.  Disney's stock price increased from $107.57 when this position was established to $111.60 at yesterday's market close.  The original $.72 time value in the Calls when the position was established had declined on yesterday's market close to $0.00.  So, with 14 days remaining until the December 26th, 2025 options expiration date, the owner of these Calls exercised their option to buy the 300 shares at the $105.00 strike price in order to receive the December 15th (next Monday's) $.75 per share ex-dividend.  Although I will not receive the ex-dividend, I am pleased with the +49.9% annualized-return-on-investment (aroi) result achieved since it exceeds the maximum aroi that might have been achieved if this position instead had remained in-the-money and would therefore be assigned on the December 26th options expiration date.   

The post when this Walt Disney Company Covered Calls position was originally established is here.  

As detailed below, the return-on-investment result for this Walt Disney Company Covered Calls position was +0.7% absolute return in 5 days (equivalent to a +49.9% annualized return-on-investment).

The Walt Disney Company (DIS) -- Covered Calls Position Closed by Early Assignment

The buy/write transaction was:
12/10/2025 Bought 300 The Walt Disney Company shares @ $107.57
12/10/2025 Sold 3 DIS 12/26/2025 $105.00 Call options @ $3.29 per share.

12/15/2025 Three Walt Disney Company Calls were exercised on the last business day (Friday, 12/12/2025) prior to next Monday's 12/15/2025 ex-dividend date, so the Call options expired and the 300 Disney shares were sold at the $105.00 strike price.

The overall performance results (including commissions) for this Disney Covered Calls position are as follows:
Covered Calls Net Investment: $31,286.01
= ($107.57 - $3.29) * 300 shares + $2.01 commission

Net Profit:
(a) Options Income: +$984.99
= ($3.29 * 300 shares) - $2.01 commission
(b) Dividend Income:  +$0.00
(c) Capital Appreciation (Disney stock is assigned early): -$771.00

= ($105.00 stock selling price - $107.57 stock purchase price) x 300 shares

Total Net Profit (Disney stock assigned early on Dec. 12th which is the last trading day prior to next Monday's 12/15/2025 ex-dividend date): +$213.99

= (+$984.99 options income + $0.00 dividend income - $771.00 capital appreciation)

Absolute Return-on-Investment: +0.7%

= (+$213.99/$31,286.01)

Equivalent Annualized Return-on-Investment: +49.9%

= (+$213.99/$31,286.01) * (365/5 days)