MSTR: The Math That Matters! How I Made $48K in 6 Months with Covered Calls

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Riding the MicroStrategy Wave

Welcome back to another deep dive into the world of covered call trading with Mark Yegge. In this update, Mark offers a no-trade, pure-math breakdown of his ongoing MicroStrategy (MSTR) position. From a sharp drop in price to a steady rebound, the strategy stays the same: generate consistent income by focusing on the juice — the extrinsic value of options. Whether you're new or a long-time follower of Mark's journey, this blog provides a detailed glimpse into how covered calls can generate strong returns, even when the stock market throws curveballs.

The Setup: A MicroStrategy Recap

Mark kicked off this MSTR trade back on November 20th, 2024, and since then, it's become a staple in his portfolio. While he had to pause trading for a bit due to switching brokerage accounts from Schwab to TradeStation, he resumed the strategy right where he left off.

MSTR had taken a significant dip — from about $530 all the way down to nearly $220. Yet thanks to the in-the-money (ITM) approach Mark favors, the position was protected. The base (long) position and the short calls balanced each other out, allowing him to continue generating income throughout the downturn.

The Numbers: Breaking Down the Math

Here's a quick summary of how things look:

Initial Entry: November 2024
Original Profit: $39,537 from the first phase of the trade (held for ~6 months)
Re-entry Cost: $180,000 for the new base position using long 245 strike calls (13 contracts)
Net Base Position After Profit: $141,000
First Covered Call: Sold 367.50 strike calls for $14,746. Stock moved up, requiring a buyback for $21,583, resulting in a working capital adjustment.
Second Covered Call: Sold 385 strike calls for $23,586. At the time of this report, buying back would cost ~$5,600, still leaving a net gain.

Total Covered Call Gains: Approximately $45,578

Overall Position Gain (Including Base Profit): About $48,000 over a little more than 6 months

This demonstrates the power of ITM covered calls and the importance of staying in the trade, even through volatility.

Juice Lever Strategy (Sneak Peek)

Mark also hints at his new “Juice Lever” strategy that combines puts and synthetics to increase yield and manage risk. While it’s still in beta testing within his mastermind group, Mark promises more details in the coming weeks. For now, the math clearly supports the conservative ITM covered call structure.

Why This Strategy Works

Even though MSTR is still below the original entry price of $477, Mark’s strategy has produced consistent weekly income. He emphasizes that covered call trading isn’t about hitting home runs — it’s about base hits that add up over time. The juice is what counts, and by focusing on capturing that income, traders can outperform traditional “buy and hope” investing.

Life-Improving Takeaways

Consistency beats speculation: Mark’s focus on weekly income via covered calls proves that small, steady wins build long-term wealth.
Manage your emotions: Even when MSTR dropped nearly 50%, Mark stuck to the strategy.
Use working capital wisely: Rolling up calls may seem like a cost, but it’s simply part of managing your trade as a business.
Document and learn: Mark's transparency through videos and blogs helps investors learn from both wins and mistakes.

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FAQs

Q: What is “juice” in trading? A: Juice is the extrinsic value of an option. It’s the income you receive from selling options — the heart of the covered call strategy.

Q: What’s an in-the-money (ITM) covered call? A: An ITM covered call means the strike price of the call option is lower than the current stock price. It provides downside protection while still generating income.

Q: How do I avoid getting assigned? A: By rolling your short calls every week, typically on Friday afternoon, you greatly reduce the chance of assignment.

Q: What platform does Mark use now? A: Mark trades on TradeStation, after switching from Schwab.

Call to Action

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Conclusion: Steady Progress, Strong Returns

With $48,000 in profits and a system that thrives in all market conditions, Mark Yegge’s covered call strategy on MSTR proves that math and discipline matter more than market timing. The journey from a massive drop to a solid recovery highlights the resilience of income-based trading strategies. Whether you’re an active trader or a passive investor, the lesson is clear: generate income weekly, stay protected, and let the numbers do the talking.

Want to Go Deeper? Join Mark live in Clearwater, Florida for the Wealth Accelerator Live event, happening September 26–28. It’s three days of hands-on training, exclusive strategies, and building your personal income machine.

MSTR: The Math That Matters! How I Made $48K in 6 Months with Covered Calls

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