Put Spread on VRSN on 4/14/2014

VeriSign, Inc. (VRSN) provides Internet infrastructure services to various networks worldwide.

The company offers domain name registry services that operate the authoritative directory of .com, .net, .cc, .tv, and .name domains, as well as the back-end systems for various.gov, .jobs, and .edu domains. Its registry services allow individuals and organizations to establish their online identities.

The company also provides network intelligence and availability services that provide infrastructure assurance to organizations comprising distributed denial of services, protection services, Verisign iDefense security intelligence services, and managed domain name systems. 

Shares have fallen below a support level and lower share prices are expected for this stock. The firm reports its earnings on April 24.

52-Week Trading Range: $43.28 - $62.96

Last Trade: $50.00

Here is the trade: 

Trade Buy 1 May $50.00 Put at $2.33 Sell 1 May $45.00 Put at $0.52 For a net debit of $1.81 Profit/Loss Analysis Breakeven at $48.19 Maximum profit is $319.00 at strike of $45.00 Maximum loss is ($181.00) at strike of $50.00 Closing Summary Sold 1 May $50.00 Put at $3.25 Bought 1 May $45.00 Put at $0.75

Position closed on 4/28/2014 at price of $2.50 with a 38.12% gain in 14 days.

Updates

4/28/2014 10:03:22 AM

We are taking profits on VRSN put spread.

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