My MPW Activity

As you know I’ve been posting about buying and trading high dividend stocks. At the moment one of my favorites is Medical Trust Properties( MPW). I own 1000 shares in my non-margin account and 1000 shares in my margin account. The shares in my non-margin account I do not sell Calls against these shares, at least not yet. The shares in my margin account, I’m in these to sell Calls against them for Double Dipping. Below is the activity with sell Calls.

I started with buying 500 shares of MPW, then I bought another 500 shares. As of 1/27/23 I owned 1000 shares at $12.61. At this buy-in price, if I still own the stock on the Pay-Date, my dividend will be at 9.2%. And that’s if the dividend stays the same. The company should be announcing the dividend for the next payment any day now.

I did sell 2 Calls for each 500 shares bringing in a total of $210 on February 3rd.

On 2/7 I sold a 10 contract Call for a 40¢ premium. This Call had an Expiration Date of 2/17. The premium came down and I did a Buy to Close at 13¢ for a 27¢ profit.

2/7/23 – Sell to Open 10 MPW 2/17/23 $13.00 C @ 40¢ (+$400)

2/13/23 – Buy to Close 10 MPW 2/17/23 $13.00 C @ 13¢ (-$130)

Profit +$270

On 2/14 I sold another Call for a premium of 33¢ with the Expiration Date of 2/24. The premium came down again to 23¢ and I did another Buy to Close at 23¢ for a 10¢ profit.

2/14/23 – Sell to Open 10 MPW 2/24/23 $13.00 C @ 33¢ (+$330)

2/15/23 – Buy to Close 10 MOW 2/24/23 $13.00 C @ 23¢ (-$230)

Profit +$100

Yesterday, 2/15, I sold another 10 contract Call with a premium of 40¢. This Call goes out to 3/3. As fate would have it, as soon as I sold the Call the stock shot up on news that MPW entered into a big deal for leasing some of their medical property. The stock went up to $13.15 but today with the down market it’s at $12.94 as I write.

2/15/23 – Sell to Open 10 MPW 3/3/23 $13.00 C @ 40¢ (+$400)

I’ll hold this position until the premium comes down and I do a Buy to Close, or until Expiration.

If I get assigned, good. If not, I’m in a high dividend stock and sell another Call. If I end up with a premium and the dividend I call it Double Dipping.

The shares I own in my non-margin account I’ll keep for the dividends and let it grow.

I’m back to Slow and Steady, Steady and Slow Grasshopper Trades.

Any questions send me an email.

 

Successful trading,

Steve

The Options Coach