Westamerica Bancorp (WABC) 11/13/09 PriceWatch Alert With 5.54% Downside Protection
Posted: Friday, November 13, 2009 8:22 AM EDT
By: Market Intelligence Center Staff
Westamerica Bancorp (NasdaqNM: WABC) closed yesterday at $50.55. So far the stock has hit a 52-week low of $33.08 and 52-week high of $56.79. Westamerica Bancorp stock has been showing support around 49.13 and resistance in the 51.69 range. Technical indicators for the stock are Bullish and S&P gives WABC a neutral 3 STAR (out of 5) hold rating. WABC appears on the Investors Observer Hedged Dividend Income list. For a hedged play on this stock, look at a Jan '10 50 covered call (WQF AJ) for a net debit in the $47.75 area. That is also the break even stock price for this trade. This covered call has a 64 day duration, provides 5.54% downside protection and a 4.71% assigned return rate for a 26.87% annualized return rate (comparison purposes only). Westamerica Bancorp has a current annual dividend yield of 2.83%. [FBB-Seven Summits Research]
CLICK HERE: FREE Westamerica Bancorp (WABC) Stock ReportSee what our analysts have uncovered about Westamerica Bancorp (WABC).