Options Trade – Anheuser-Busch InBev (BUD)

Finally had a nice down day in the Market yesterday due to rising interest rates – made two trades.

The first trade was for Anheuser-Busch InBev (BUD) – here are the details of the trade:

• Sold: 5 April 16, 2021 Puts
• Strike Price: $55.00
• *Premium Collected: $505.00

If I am forced to buy the 500 shares, my entry price will be about $54.00 per share – over a 40% discount to Anheuser-Busch InBev’s Morningstar Fair Value of $90.00 per share – providing a comfortable Margin of Safety. 

*Excludes transaction costs.

Back to drinking Bud Light!