Shareholders of TPG Inc – Class A (TPG) can enhance their income by selling a January 2027 covered call at the $62.50 strike price, which offers a premium of $5.30. This strategy could result in a total annualized rate of return of 14.8% if the stock is not called away. Currently, TPG shares are priced at $54.87, indicating a 13.2% increase would be needed for the stock to be called, leading to a potential return of 22.9%.
As of Monday, the put volume among S&P 500 components was 1.19 million contracts, while call volume stood at 2.27 million contracts, resulting in a put-to-call ratio of 0.52. This reflects a significant preference for call options, with traders demonstrating a bullish sentiment today compared to the long-term median put-to-call ratio of 0.65.
