WW Grainger (GWW) 11/10/09 PriceWatch Alert With 6.50% Downside Protection
Posted: Tuesday, November 10, 2009 8:32 AM EDT
By: Market Intelligence Center Staff
WW Grainger (NYSE: GWW) closed yesterday at $98.50. So far the stock has hit a 52-week low of $58.86 and 52-week high of $98.50. WW Grainger stock has been showing support around 96.71 and resistance in the 99.39 range. Technical indicators for the stock are Bullish and S&P gives GWW a neutral 3 STAR (out of 5) hold rating. GWW appears on the Investors Observer Hedged Dividend Income list. For a hedged play on this stock, look at a Jan '10 95 covered call (GWW AS) for a net debit in the $92.10 area. That is also the break even stock price for this trade. This covered call has a 67 day duration, provides 6.50% downside protection and a 3.15% assigned return rate for a 17.15% annualized return rate (comparison purposes only). WW Grainger has a current annual dividend yield of 1.91%. [ATU-Seven Summits Research]
CLICK HERE: FREE WW Grainger (GWW) Stock ReportSee what our analysts have uncovered about WW Grainger (GWW).