Assigned on INMD, Profit of $6,675 in 66 Days, 25% Return or 140% Annualized

We were assigned on Mar 19 $70 Call options on INMD this morning. We had an order in to roll the options to Apr 16 $70 Calls but didn’t get filled (couldn’t get a reasonable premium) so the shares got called away. Disappointing as our preference is to hold the stock for 12 months before allowing it to get called away so we pay long term capital versus short term capital gains.

We believe INMD is a good long term stock to hold and plan on establishing a new position next week.

The chart below shows the daily progression of the profit/loss on the position. The shares rose from our purchases price of $52.71 in January to over $70 on Friday. We rolled up the options three times. Despite rolling up the options we did not collect enough premium to offset the costs of rolling. The options lost $1,972.

Table below shows the transactions associated with the position.

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