Commit To Buy Monolithic Power Systems At $65, Earn 16.1% Annualized Using Options

Investors considering a purchase of Monolithic Power Systems Inc (MPWR) stock, but tentative about paying the going market price of $66.60/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the March 2016 put at the $65 strike, which has a bid at the time of this writing of $3.40..