An early assignment is most likely to happen if the call option is deep in the money and the stock’s ex-dividend date is close to the option expiration date.
If your account does not hold the shares needed to cover the obligation, an early assignment would create a short stock position in your account. This may incur borrowing fees and make you responsible for any dividend payments.
Also note that if you hold a short call on a stock that has a dividend payment coming in the near future, you may be responsible for paying the dividend even if you close the position before it expires.
If it's at expiration | If it's at expiration |
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This means your account must have enough money to buy the shares of the underlying at the strike price or you may incur a margin call. Actions you can take: If you don’t have the money to pay for the shares, you can buy the put option before it expires, closing out the position and eliminating the risk of assignment and the risk of a margin call. |
An early assignment generally happens when the put option is deep in the money and the underlying stock does not have an ex-dividend date between the current time and the expiration of the option.
Short call + long call
(The same principles apply to both two-leg and four-leg strategies)
If the and the at expiration |
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This means your account will deliver shares of the underlying—i.e., sell them at the strike price. Actions you can take: If you don’t have the shares to sell, or don’t want to establish a short stock position, you can buy the short call before expiration, closing out the position. If the short leg is closed before expiration, the long leg may also be closed, but it will likely not have any value and can expire worthless. |
This would leave your account short the shares you’ve been assigned, but the risk of the position would not change . The long call still functions to cover the short share position. Typically, you would buy shares to cover the short and simultaneously sell the long leg of the spread.
Pay attention to short in-the-money call legs on the day prior to the stock’s ex-dividend date, because an assignment that evening would put you in a short stock position where you are responsible for paying the dividend. If there’s a risk of early assignment, consider closing the spread.
Short put + long put
If the and the at expiration |
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This means your account will buy shares of the underlying at the strike price. Actions you can take: If you don’t have the money to pay for the shares, or don’t want to, you can buy the put option before it expires, closing out the position and eliminating the risk of assignment. Once the short leg is closed, you can try to sell the long leg if it has any value, or let it expire worthless if it doesn’t. |
Early assignment would leave your account long the shares you’ve been assigned. If your account does not have enough buying power to purchase the shares when they are assigned, this may create a Fed call in your account.
However, the long put still functions to cover the position because it gives you the right to sell shares at the long put strike price. Typically, you would sell the shares in the market and close out the long put simultaneously.
Long call + short call
If the and the at expiration |
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This means your account will buy shares at the long call’s strike price. Actions you can take: If you don’t have enough money in your account to pay for the shares, or you don’t want to, you can simply sell the long call option before it expires, closing out the position. However, unless you are approved for Level 4 options trading, you must close out the short leg first (or simultaneously). The easiest way to do this is to use the spread order ticket to buy to close the short leg and sell to close the long leg. Assuming the short leg is worth less than $0.10, the E*TRADE Dime Buyback program would apply, and you’ll pay no commission to close that leg. |
Debit spreads have the same early assignment risk as credit spreads only if the short leg is in-the-money.
An early assignment would leave your account short the shares you’ve been assigned, but the risk of the position would not change . The long call still functions to cover the short share position. Typically, you would buy shares to cover the short share position and simultaneously sell the remaining long leg of the spread.
Long put + short put
If the and the at expiration |
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This means your account will buy shares at the long call’s strike price. Actions you can take: If you don’t have the shares, the automatic exercise would create a short position in your account. To avoid this, you can simply sell the put option before it expires, closing out the position. However, you may not have the buying power to close out the long leg unless you close out the short leg first (or simultaneously). The easiest way to do this is to use the spread order ticket to buy to close the short leg and sell to close the long leg. Assuming the short leg is worth less than $0.10, the E*TRADE Dime Buyback program would apply, and you’ll pay no commission to close that leg. |
An early assignment would leave your account long the shares you’ve been assigned. If your account does not have enough buying power to purchase the shares when they are assigned, this may create a Fed call in your account.
(when all legs are in-the-money or all are out-of-the-money)
If all legs are at expiration | If all legs are at expiration |
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For call spreads, this will buy shares at the long call’s strike price and sell shares at the short call’s strike price. For put spreads, this will sell shares at the long put strike price and buy shares at the short put strike price. In either case, this will happen in the account after expiration, usually overnight, and is called . Your account does not need to have money available to buy shares for the long call or short put because the sale of shares from the short call or long put will cover the cost. There will be no Fed call or margin call. |
Pay attention to short in-the-money call legs on the day prior to the stock’s ex-dividend date because an assignment that evening would put you in a short stock position where you are responsible for paying the dividend. If there’s a risk of early assignment, consider closing the spread.
However, the long put still functions to cover the long stock position because it gives you the right to sell shares at the long put strike price. Typically, you would sell the shares in the market and close out the long put simultaneously.
How to buy call options, how to buy put options, potentially protect a stock position against a market drop, looking to expand your financial knowledge.
Should value investors gain from on assignment, inc. (asgn) stock.
Value investing is easily one of the most popular ways to find great stocks in any market environment. After all, who wouldn’t want to find stocks that are either flying under the radar and are compelling buys, or offer up tantalizing discounts when compared to fair value?
One way to find these companies is by looking at several key metrics and financial ratios, many of which are crucial in the value stock selection process. Let’s put On Assignment, Inc. ASGN stock into this equation and find out if it is a good choice for value-oriented investors right now, or if investors subscribing to this methodology should look elsewhere for top picks:
A key metric that value investors always look at is the Price to Earnings Ratio, or PE for short. This shows us how much investors are willing to pay for each dollar of earnings in a given stock, and is easily one of the most popular financial ratios in the world. The best use of the PE ratio is to compare the stock’s current PE ratio with: a) where this ratio has been in the past; b) how it compares to the average for the industry/sector; and c) how it compares to the market as a whole.
On this front, On Assignment has a trailing twelve months PE ratio of 18.89, as you can see in the chart below:
This level actually compares pretty favorably with the market at large, as the PE for the S&P 500 compares in at about 20.19. If we focus on the stock’s long-term PE trend, the current level puts On Assignment’s current PE ratio below its midpoint over the past five years, with the number having risen rapidly over the past few months.
Further, the stock’s PE also compares favorably with the Zacks classified Business Services industry’s trailing twelve months PE ratio, which stands at 23.73. At the very least, this indicates that the stock is relatively undervalued right now, compared to its peers.
We should also point out that On Assignment has a forward PE ratio (price relative to this year’s earnings) of 18.11, so it is fair to say that a slightly more value-oriented path may be ahead for On Assignment stock in the near term too.
Another key metric to note is the Price/Sales ratio. This approach compares a given stock’s price to its total sales, where a lower reading is generally considered better. Some people like this metric more than other value-focused ones because it looks at sales, something that is far harder to manipulate with accounting tricks than earnings.
Right now, On Assignment has a P/S ratio of about 1.13. This is a bit lower than the S&P 500 average, which comes in at 3.12 right now. Also, as we can see in the chart below, this is well below the highs for this stock in particular over the past few years, suggesting some level of undervalued trading—at least compared to historical norms.
Broad Value Outlook
In aggregate, On Assignment currently has a Zacks Value Style Score of ‘B’, putting it into the top 40% of all stocks we cover from this look. This makes On Assignment a solid choice for value investors.
What About the Stock Overall?
Though On Assignment might be a good choice for value investors, there are plenty of other factors to consider before investing in this name. In particular, it is worth noting that the company has a Growth grade of ‘A’ and a Momentum score of ‘F’. This gives ASGN a Zacks VGM score—or its overarching fundamental grade—of ‘B’. (You can read more about the Zacks Style Scores here >> )
Meanwhile, the company’s recent earnings estimates have been discouraging. The current quarter has seen three estimates going higher in the past sixty days compared to two lower, while the full year estimate has seen three up and no down in the same time period. The next year estimate, on the other hand, has seen four upward and no downward movement.
This has had a small impact on the consensus estimate as the current quarter consensus estimate has fallen by 1.4% in the past two months, while the full year estimate has remained flat at $2.90. The next year estimate has inched down by 0.9%. You can see the consensus estimate trend and recent price action for the stock in the chart below:
On Assignment, Inc. Price and Consensus | On Assignment, Inc. Quote
Despite this somewhat bearish trend, the stock has just a Zacks Rank #2 (Buy) and why we are looking for in-line performance from the company in the near term.
Bottom Line
On Assignment is an inspired choice for value investors, as it is hard to beat its incredible lineup of statistics on this front. Moreover, a strong industry rank (Top 18% out of more than 250 industries) strengthens its growth potential. In fact, over the past five years, the Zacks Business Service industry has clearly outperformed the broader market, as you can see below:
So, value investors might want to wait for estimates and analyst sentiment to turn around in this name first, but once that happens, this stock could be a compelling pick.
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It services & consulting.
On Assignment, Inc. (NYSE: ASGN) (the “Company”) announced today that it has entered into a definitive purchase agreement to sell its physician staffing segment, VISTA Staffing Solutions, Inc. (“Vista”) to Envision Healthcare (NYSE: EVHC) (“Envision”) for $123.0 million. Net proceeds from the sale (after income taxes and transaction expenses) are estimated to be $102.0 to $105.0 million. The transaction is expected to close in February pending completion of certain closing conditions. Estimated revenues from Vista for 2014 were approximately $135.0 million.
Envision, and its more than 34,000 employees and affiliated physicians, offers an array of physician-led healthcare related services to consumers, hospitals, healthcare systems, health plans and local, state and national government entities. Envision Healthcare (NYSE: EVHC) is a leading provider of physician-led, outsourced medical services. The company provides a broad range of coordinated, clinically-based care solutions across the continuum of care, from medical transportation to hospital encounters to comprehensive care alternatives in various settings.
"We were approached by Envision, one of the largest and most respected healthcare companies in the industry, to acquire Vista and determined that this would greatly benefit both organizations, our employees, and our stockholders," said Peter Dameris, President and CEO of On Assignment. "This is an incredible opportunity for Vista to align with a world class healthcare organization. Furthermore, this transaction will provide us with additional cash to pursue strategic acquisitions, execute repurchases of shares, increase investments in our organic growth strategy, and pay down debt.”
“We staff thousands of clinicians each year so joining forces with the very talented team of one of the largest locum tenens physician staffing firms in the nation was a logical move,” said William A. Sanger, Chairman, President and Chief Executive Officer of Envision. “We are dedicated to being pioneers in each area of healthcare we operate and that includes the staffing of our workforce. VISTA’s business practices and systems will be key differentiators for us as we develop our comprehensive multi-specialty staffing practice for all levels of clinicians.”
Financial Treatment of Vista’s Results of Operations
In the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, which is expected to be filed with the Securities and Exchange Commission (“SEC”) on or before March 2, 2015, Vista’s results of operations for 2014 will be included in the Company’s consolidated results of operations, and the sale of Vista will be disclosed as a subsequent event. In all subsequent filings with the SEC, Vista’s operating results will be reported as discontinued operations on a retrospective basis for all periods presented. In the Company’s press release covering its financial results for the fourth quarter of 2014, which is scheduled to be released on February 18, 2015, the Company will include historical quarterly operating results of the Company for 2013 and 2014 that have been restated to report Vista as discontinued operations.
Board Authorizes New $100 Stock Repurchase Program
In December 2014, the Company completed its existing $100 million share repurchase program whereby the Company repurchased 3.4 million shares at an average per share price of $29.78.
On January 16, 2015, the Company’s Board of Directors authorized a new $100 million share repurchase program subject in part to amendment of its credit facility. The new share repurchase will be effective beginning after close of trade two days after the Company’s next release of earnings.
Conference Call
The Company will hold a brief conference call on Tuesday, January 20 at 4:30 p.m. EST to discuss this transaction. The dial-in number for this conference call is 800-230-1074 (+1-612-234-9959 outside the United States). Please reference Conference ID number 351321. The call will be hosted by Peter Dameris, President and Chief Executive Officer of On Assignment, Inc. A replay of the conference call will be available from 6:30 p.m. EST on, Tuesday, January 20, 2015 until 11:30 p.m. EST on Tuesday, February 3, 2015. The dial-in number for the replay is 800-475-6701 (+1-320-365-3844 outside the United States). The replay access code is 351321. This call is being webcast by CCBN and can be accessed through On Assignment's website at www.onassignment.com .
Fourth Quarter 2014 Financial Results
As previously announced, the Company will release its financial results for the fourth quarter of 2014 on Wednesday, February 18, 2015, to be followed by its regular quarterly conferenced call scheduled for 4:30 p.m. EST. With respect to financial results for the fourth quarter of 2014, the Company expects its revenues and Adjusted EBITDA (a non-GAAP measure defined below) for the fourth quarter of 2014 will be slightly above the high end of its previously-announced financial estimates.
About On Assignment
On Assignment, Inc. is a leading global provider of in-demand, skilled professionals in the growing technology, healthcare and life sciences sectors, where quality people are the key to success. The Company goes beyond matching résumés with job descriptions to match people they know into positions they understand for temporary, contract-to-hire, and direct hire assignments. Clients recognize On Assignment for its quality candidates, quick response, and successful assignments. Professionals think of On Assignment as a career-building partner with the depth and breadth of experience to help them reach their goals.
On Assignment, which is based in Calabasas, California, was founded in 1985 and went public in 1992. The Company has a network of branch offices throughout the United States, Canada, United Kingdom, Netherlands, Ireland, and Belgium. To learn more, visit www.onassignment.com .
Reasons for Presentation of Non-GAAP Financial Measures
Statements in this release and the Supplemental Financial Information accompanying include non-GAAP financial measures. Such information is provided as additional information, not as an alternative to our consolidated financial statements presented in accordance with GAAP, and is intended to enhance an overall understanding of our current financial performance. The Supplemental Financial Information sets forth financial measures reviewed by our management to evaluate our operating performance. Such measures also are used to determine a portion of the compensation for some of our executives and employees. We believe the non-GAAP financial measures provide useful information to management, investors and prospective investors by excluding certain charges and other amounts that we believe are not indicative of our core operating results. These non-GAAP measures are included to provide management, our investors and prospective investors with an alternative method for assessing our operating results in a manner that is focused on the performance of our ongoing operations and to provide a more consistent basis for comparison between quarters. One of the non-GAAP financial measures presented is EBITDA (earnings before interest, taxes, depreciation, and amortization of intangible assets), other terms include Adjusted EBITDA (EBITDA plus equity-based compensation expense, impairment charges, write-off of loan costs, and acquisition, integration and strategic planning expenses) and non-GAAP income from continuing operations (income from continuing operations, plus write-off of loan costs, and acquisition, integration and strategic planning expenses, net of tax) and adjusted income from continuing operations and related per share amounts. These terms might not be calculated in the same manner as, and thus might not be comparable to, similarly-titled measures reported by other companies. The financial statement tables that accompany this press release include reconciliation of each non-GAAP financial measure to the most directly comparable GAAP measure.
Safe Harbor
Certain statements made in this news release are “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and involve a high degree of risk and uncertainty. Forward-looking statements include statements regarding the Company's anticipated financial and operating performance in 2014. All statements in this release, other than those setting forth strictly historical information, are forward-looking statements. Forward-looking statements are not guarantees of future performance, and actual results might differ materially. In particular, the Company makes no assurances that the estimates of revenues, gross margin, SG&A, Adjusted EBITDA, income from continuing operations, adjusted income from continuing operations, earnings per share or earnings per diluted share set forth above will be achieved. Factors that could cause or contribute to such differences include actual demand for our services, our ability to attract, train and retain qualified staffing consultants, our ability to remain competitive in obtaining and retaining temporary staffing clients, the availability of qualified temporary professionals, management of our growth, continued performance of our enterprise-wide information systems, our ability to manage our potential or actual litigation matters, the successful integration of our recently acquired subsidiaries, the successful implementation of our five-year strategic plan, and other risks detailed from time to time in our reports filed with the SEC, including our Annual Report on Form 10-K for the year ended December 31, 2013, as filed with the SEC on March 3, 2014 and our Quarterly Reports on Form 10-Q for the periods ended March 31, 2014, June 30, 2014 and September 30, 2014 as filed with the SEC on May 9, 2014, August 11, 2014 and November 7, 2014, respectively. We specifically disclaim any intention or duty to update any forward-looking statements contained in this news release.
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Check our free sample assignment of stock legal form. 1 min read updated on September 19, 2022
For good and valuable consideration, receipt of which is hereby acknowledged, I, [Name] the undersigned, residing at [Address] hereby sell, assign and transfer to [Name], residing at [Address], [Number] shares of the stock of [Name of Corporation] (the "Corporation") standing in my name on the books of the Corporation, represented by Certificate No. [Certificate Number], and hereby irrevocably constitute and appoint [Name], attorney-in-fact to transfer the stock on the books of the within named Corporation, with full power of substitution in the premises.
Dated: [Month, Day, Year] In the presence of: ________________________ Signature of Witness ________________________ Signature
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BCO The Brink's Company. 110.93. +1.32%. Find the latest ASGN Incorporated (ASGN) stock quote, history, news and other vital information to help you with your stock trading and investing.
An option assignment represents the seller's obligation to fulfill the terms of the contract by either selling or buying the underlying security at the exercise price. This obligation is triggered when the buyer of an option contract exercises their right to buy or sell the underlying security. To ensure fairness in the distribution of American ...
An assignment is the transfer of rights or property. In financial markets, it is a notice to an options writer that the option has been exercised. ... The stock is now trading at $30 and ABC is ...
Managing an options trade is quite different from that of a stock trade. Essentially, there are 4 things you can do if you own options: hold them, exercise them, roll the contract, or let them expire. If you sell options, you can also be assigned. If you are an active investor trading options with some percentage of your overall investment ...
For example, if you sold a $100 strike put when a stock is trading at $120 per share, you can avoid assignment by closing the position before the stock drops under your strike price of $100.
Stock Assignment is used when an investor wants to sell their shares to someone else, while Stock Power is used when an investor wants to transfer their shares to a family member or a trust. Another difference is the legal document that is used. Stock Assignment uses an Assignment of Stock Certificate form, while Stock Power uses a Stock Power ...
An option gives the owner the right but not the obligation to buy or sell stock at a set price. An assignment forces the short options seller to take action. Here are the main actions that can result from an assignment notice: Short call assignment: The option seller must sell shares of the underlying stock at the strike price. Short put ...
For example, say XYZ stock is trading at $40 and an investor sells 10 contracts for XYZ July 50 calls at $1.00, collecting a premium of $1,000, since each contract represents 100 shares ($1.00 ...
Simply defined, the assignment of an option refers to the fulfillment of the options contract by the seller. An option holder has the right to buy or sell the underlying equity at the given strike ...
What is assignment? ... For example, say XYZ stock is trading at $40 and an investor sells 10 contracts for XYZ July 50 calls at $1.00, collecting a premium of $1,000, since each contract ...
An assignment can be any transfer of any sort of rights. In the financial markets, ... to deliver the stock to another client with a long position in the same contract. The brokerage will randomly ...
Assignment is relatively rare, with only 7% of options ultimately getting assigned. Definition and Examples of Assignment An assignment represents the seller of an option's obligation to fulfill the terms of the contract by either selling or purchasing the underlying security at the exercise price.
On Assignment stocks price quote with latest real-time prices, charts, financials, latest news, technical analysis and opinions. ... Unique to Barchart.com, Opinions analyzes a stock or commodity using 13 popular analytics in short-, medium- and long-term periods. Results are interpreted as buy, sell or hold signals, each with numeric ratings ...
Bob owns 500 shares of ABC stock, which pays a quarterly $0.50 dividend. The stock is trading around $25 a share on August 1 when Bob decides to sell 5 October 30 calls. By early October, ABC stock has risen to $31 and, as a result, Bob's covered calls are in the money by $1. The calls will expire in 10 days and tomorrow the stock will start ...
Understanding assignment risk in Level 3 and 4 options strategies. With all options strategies that contain a short option position, an investor or trader needs to keep in mind the consequences of having that option assigned, either at expiration or early (i.e., prior to expiration). Remember that, in principle, with American-style options a ...
On Assignment, Inc. Price and Consensus | On Assignment, Inc. Quote Despite this somewhat bearish trend, the stock has just a Zacks Rank #2 (Buy) and why we are looking for in-line performance ...
View today's ASGN Inc stock price and latest ASGN news and analysis. Create real-time notifications to follow any changes in the live stock price.
A stock assignment agreement is the transfer of ownership of stock shares. 3 min read updated on November 02, 2020. A stock assignment agreement is the transfer of ownership of stock shares. It occurs when one party legally transfers their shares of stock property to another party or to a business. It's like the type of assignment agreement ...
The trade price of those short shares is $41, and the stock is trading right now, live time at about $42.50. This is working out good because I just did these slides and the stocks moving a little bit. It's right at $42.51, or now it's moving to $42.51. Now, we originally sold the 44 straddle for $286.
THIS ASSIGNMENT OF STOCK (this Agreement ) is made and entered into as of [ ], by and between H. Wayne Huizenga ( Assignor ) and [ ] ( Assignee ). RECITALS. WHEREAS, Assignor is the owner and holder of [ ] shares of common stock, par value $.01 per share (the Shares ), of Swisher International, Inc., a Nevada corporation (the Company ); and.
On Assignment, Inc. (NYSE: ASGN) (the "Company") announced today that it has entered into a definitive purchase agreement to sell its physician staffing segment, VISTA Staffing Solutions, Inc. ("Vista") to Envision Healthcare (NYSE: EVHC) ("Envision") for $123.0 million.
Assignment of Stock Form. For good and valuable consideration, receipt of which is hereby acknowledged, I, [Name] the undersigned, residing at [Address] hereby sell, assign and transfer to [Name], residing at [Address], [Number] shares of the stock of [Name of Corporation] (the "Corporation") standing in my name on the books of the Corporation, represented by Certificate No. [Certificate ...