Buy/write CHRW C.H. Robinson
Buy the stock, sell the April 50 call. Stock had a nice earnings report some time back, and I've been waiting to buy this stock on a pullback. Recently announced that CHRW will join the SP500 index. The call is in-the-money, so a conservative play. Most stocks that get added to the SP500 start to trade more in line with the index. Usually that means lower volatility. CHRW options trade at a relatively high implied volatility of 32% vs. about 17% for the SP. A small bonus is that the stock goes ex-dividend 18 cents on March 7th.
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