Reinsurance Group of America Inc. (RGA) Could Be On The Move Today

Posted: Friday, October 09, 2009 9:15 AM EDT

Reinsurance Group of America Inc. (NYSE: RGA) closed yesterday at $45.43. So far the stock has hit a 52-week low of $21.27 and 52-week high of $46.14. Reinsurance Group of America stock has been showing support around 44.01 and resistance in the 46.85 range. Technical indicators for the stock are Bullish and S&P gives RGA a neutral 3 STAR (out of 5) hold rating. RGA appears on the Investors Observer Hedged Dividend Income list. For a hedged play on this stock, look at a Jan '10 45 covered call (RGA AI) for a net debit in the $42.33 area. That is also the break even stock price for this trade. This covered call has a 99 day duration, provides 6.82% downside protection and a 6.31% assigned return rate for a 23.26% annualized return rate (comparison purposes only). Reinsurance Group of America has a current annual dividend yield of 0.79%. [FBB-Seven Summits Research]

Click Symbol For More News On: (RGA)