As options trading stressed me out a bit the way i do it, i would like to dip my feet into the wheel strategy. Of course i'd like to do that on stocks i have no problem in owning right now. So i was looking at F and KO, good companies at reasonable share prices. And due to the wheel strategy's nature i am about to acquire 100 shares each.
Looking at the PE ratios, i see F at 6.22 which i would consider pretty undervalued.
KO sits at a PE ratio of 28, which is kinda high. To get down to a PE ratio of 25 i would want to get them at 55 usd/share.
Now i havent been into long term investing. What is your guys feedback on long term investing on these stocks, considering the wheel, stock price growth and dividends?
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