Selling ETSY puts for income.
Etsy Inc. (ETSY) is a popular e-commerce marketplace in the U.S., Europe and Australia. The company connects buyers and sellers of vintage and craft goods.
ETSY generates reliable profits with plenty of growth expected. Shares pulled back sharply after their pandemic surge. But the stock now trades at a reasonable price compared to expected profits.
Shares have begun to move higher from the June lows and should continue.
By selling the October $100 puts near $6.70, we’re able to collect an annualized yield near 42%, while also giving us roughly $7.00 per share in cushion between the current market price for ETSY and our strike price.
- Sell (to open) 1 ETSY October 21st $100 put
- Limit: $6.70 or more
- The new position will represent roughly 11.4% of our model.
- 12:32 Executed
- Sold 1 ETSY October 21st $100 put @ $7.15