For a hedged play on RPM International Inc (RPM), MarketIntelligenceCenter.com’s option-trade picking algorithms recommend the Aug. '16 $35.00 covered call for a net debit in the $34.10 area. That is also the break-even stock price for the covered call. This trade will return 2.64%, or 4.65% annualized (for comparison purposes only), in 207 days. This covered call also provides 13.45% downside protection.
The current 52-week low is $37.99 and the 52-week high is $51.42. RPM International stock has been showing support around $38.67 and resistance in the $40.23 range. The stock closed Friday's trading session at $39.40.