Sell puts on Waters Corp. stock to earn 5.2% annualized using options strategy

Investors considering a purchase of Waters Corp. (WAT) stock at $324.34/share may benefit from selling puts. One option is the January 2027 put at $270 strike, with a bid of $13.00, representing a 4.8% return or 5.2% annualized rate of return. Selling puts does not grant access to WAT's upside potential and only benefits the seller if the contract is exercised at the $270 strike.