This is a new position for an in-law in his Sep IRA. It now makes up 4.7% of the assets in this account. Other than giving him a few buy ideas over the years I've had very little input with the decision making for this account.
Berkshire's cost per share for IBM is 171.5 per share. IBM announces earnings 7/17/13 after the close.
« Creating value even if there is very little organic growth. »
If you can't "make it" (grow/increase the numerator - "SALES in M$") legitimately,
then "fake it" ("grow" sales PER SHARE instead) by decreasing the denominator (lower the share count by buying back shares). Retail won't notice and insiders with options will love you.
I'm also short these options in IRA 1 and they expire today so next Monday I'll be buying more or selling more put options---IBM Jul 12 '13 $190 Put.
This IRA has been my worst performing IRA for 2013, is currently 52% cash and is only up about 10-11% for the year verses the S&P 500's 17% return. This has been a very bad year to be selling cash secured puts.