Plains All American Pipeline (PAA) 10/6/09 PriceWatch Alert Targets 5.87% Downside Protection
Posted: Tuesday, October 06, 2009 8:23 AM EDT
By: Market Intelligence Center Staff
Plains All American Pipeline (NYSE: PAA) closed yesterday at $46.83. So far the stock has hit a 52-week low of $23.25 and 52-week high of $50.33. Plains All American Pipeline stock has been showing support around 45.86 and resistance in the 47.58 range. Technical indicators for the stock are Bearish and S&P gives PAA a positive 4 STAR (out of 5) buy rating. PAA appears on the Investors Observer Hedged Dividend Income list. For a hedged play on this stock, look at a May '10 45 covered call (PAA EI) for a net debit in the $44.08 area. That is also the break even stock price for this trade. This covered call has a 228 day duration, provides 5.87% downside protection and a 2.09% assigned return rate for a 3.34% annualized return rate (comparison purposes only). Plains All American Pipeline has a current annual dividend yield of 7.91%. [ATU-Seven Summits Research]
CLICK HERE: FREE Plains All American Pipeline (PAA) Stock ReportSee what our analysts have uncovered about Plains All American Pipeline (PAA).