Rocky’s Weekly Stock Picks

This week we’re looking to double down on some of our current investments, across personal accounts! Many of our shares are down, but our portfolio values have remained stable, without adding any additional funds. Dividends and premiums help to offset our unrealized losses.

RIOT is priced at $29.52. We’re not going to use it as a pick, since we permanently recommend buy if it’s under $40.

1. BBIG - We don’t actually recommend you buy shares of this, and we quite frankly expect the price to drop hard and fast without warning. However, you can sell OTM puts for 10-15% easily. The price is presently $10.57, and the $8 put has a 5% premium of $0.40, so you can be fairly conservative and still see a nice return for the week.

   Yes, ladies and gentlemen, BBIG options are trading weekly.

   Once we get stuck with shares, we’ll probably drop the shares ASAP. Unless we end up ROI’ing, in which case, might as well just keep writing calls until we lose them via assignment, or sell them to buy more RIOT.
   

2. EDF - Stone Harbor Emerging Markets Income. Translation?: A stable share price, with a reasonable annual yield. $8.30 is the current price, and each share pays $0.07 a month, or $0.84 annually. There isn’t much more to say, we like stability and 10% returns.
   

3. HCDIP - Harbor Custom Development preferred shares , $23.89 a share. 8% coupon rate, cumulative, monthly. Callable into cash, at any time. Next scheduled call is June, 2024. Also, convertible. We expect to hold these shares to the scheduled call date. $15.96 return on just shy of $24. That’s like 66%.
   

4. PEI/PRB - Close to $14 a share, next call date is October 2021. Call price is $25. Seems like a no-brainer, but it’s possible we’re misunderstanding something here. We’d actually prefer to hold the shares, with the cumulative 12.99% return.
   
   Idk, I feel like if I had the option, as the issuer, I’d call in the shares, then sell them back out at a lower interest rate.
   

5. ORC - $5.05 a share, monthly options, and a 15%+ annual return. The price stays stable, so we don’t fret much about possible assignment of shares.

   500 shares, $2500, gets about $30 a month dividend payment. That’s a $360 return annually.
   
   Can’t afford as much? Buy a single share each day.