Netflix (NASDAQ: NFLX) has been identified by InvestorsObserver analysts as being well-positioned for a new covered call today. Buying the stock for $56.65 while selling the October $55.00 call will produce a new covered call with a break-even point around $51.75. At that price, this position has a target return of 6.3 %. This trade will have roughly 8.6 % downside protection, while still aiming for a 6.3 % return in 43 days. It will lock in that return as long as Netflix  is above $55.00 on 10/20/2012. For comparison purposes only, this NFLX covered call aims for an annualized return rate of 53.3 %.

Royal Caribbean Cruises (NYSE: RCL) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $28.72 while simultaneously selling the December $28.00 call will result in a new position with a target return of 6.7 %. Based on recent prices, this position will cost about $26.23, which is also the trade’s breakeven point. At that level, this covered call has 8.7 % downside protection, while still providing a 6.7 % return in 106 days as long as  RCL is above $28.00 on 12/22/2012. For comparison purposes only, this Royal Caribbean Cruises covered call aims for an annualized return rate of 23.2 %.

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CF Industries (NYSE: CF) has been selected by InvestorsObserver analysts as a stock that is an ideal candidate for a new covered call today. Buying the stock for $212.88 while simultaneously selling the November $210.00 call will result in a new position with a target return of 5.8 %. Based on recent prices, this position will cost about $198.43, which is also the trade’s breakeven point. At that level, this covered call has 6.8 % downside protection, while still providing a 5.8 % return in 71 days as long as  CF is above $210.00 on 11/17/2012. For comparison purposes only, this CF Industries covered call aims for an annualized return rate of 30.0 %.

Gold Fields (NYSE: GFI) has been selected by InvestorsObserver analysts as a stock that is a strong candidate for a new covered call today. Selling the April $13.00 call while simultaneously buying GFI stock for $13.11 will result in a new position with a break-even point around $11.82. At that price, this position has a target return of 10.0 %. This trade has 9.8 % downside protection, while still providing a 10.0 % return in 225 days as long as  GFI is above $13.00 on 4/20/2013. For comparison purposes only, this Gold Fields covered call targets an annualized return rate of 16.2 %.

KLA Tencor (NASDAQ: KLAC) has been chosen by InvestorsObserver analysts as a candidate for a new covered call today. Selling the January $50.00 call while at the same time buying KLAC stock for $52.42 will produce a new covered call with a target return of 4.8 %. Based on recent data, this trade will cost about $47.72, which is also the covered call’s breakeven point. At that price, this covered call has 9.0 % downside protection, while seeking an assigned return of 4.8 % return in 134 days. If KLAC is higher than $50.00 on 1/19/2013, we are assured that simple return. For comparison purposes only, that equates to an annualized return rate of 13.0 %.