The point of the article was that there is virtually no chance of ESV trading down to 40 and that the premium from the sale of the put is free return with no risk.
I agree that ESV will return to the 60's fairly quickly. The key here is new rig signing contracts as the market is currently expecting a drop in rig rates is probable.
Note that ESV is in a favorable position as over the next year capital investment will be coming down while the new rigs will add to revenue. Just a matter the new rigs being locked up with attractive contracts.
As an additional bonus I expect we will see a modest divi increase in the near future.
I agree. I think we're a screaming buy right now. The dividend and buyback should support the share price at these levels. Will we be back to $60 within a year? Easily. That plus the dividend is a ~13% return. And I personally think we'll be closer to $65 a year from now.