BP

BP are the stock symbols for British Petroleum. This is the stock that dropped by more than 50% because of the oil spill in the Gulf. The stock was actually greatly oversold and the price was artificially low. Ever since the big sell-off on the stock it has been gradually rising and has become one of the least volatile oil stocks for a major oil company. Shares are still very reasonably priced at about $47 per share. Because of the low volatility the options on this stock are very low priced.

For an $8,000 investment you could own 5,000 call options with a July strike price of $50. If the stock price which is now $47. 30 should go up to $50.00 over the next three months, the value of your options could go up from $1.60 per share to $2.60 per share. That would net you approximately $5,000 which is over 62% net earnings.

Just something to think about over your coffee.