2 Ways to Hedge a Bet on Goldman Sachs
filed in Daily Buzz News on Jun.03, 2010
Double Dividend Stocks submits:
Although Goldman Sachs (GS) isn’t one of the high dividend stocks that we normally cover, some investors may want to consider making a bullish options trade on them, by selling covered calls or cash-secured put options. Either of the following two trades will deliver a substantially lower break-even entry point that’s below GS’s long-term moving averages.
Another consideration is Goldman’s current valuation. With its recent closing price of $144.83, GS has some pretty attractive valuation metrics already, compared to its competitors: