Kevin Kelly's Verizon Trade

Kevin Kelly spoke on Bloomberg Markets about a bullish options trade in Verizon Communications Inc. VZ.

He thinks the stock is defensive and he believes that it can grow, both organically and through acquisitions. Kelly added that it has an attractive valuation and he wants to use options to try to buy the stock cheaper. He wants to sell the January 48 put for $1.18. If Verizon trades higher he is going to collect the premium, but if it trades below $48, he would have to own the stock and his purchase price would be $46.82.