Commit To Purchase Cerence At $5, Earn 22.1% Annualized Using Options

Investors considering a purchase of Cerence Inc (CRNC) stock, but cautious about paying the going market price of $7.54/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the December 2025 put at the $5 strike, which has a bid at the time of this writing of $1.10..