SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Kulicke and Soffa
KLIC 37.16-1.2%Nov 14 9:30 AM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: TI2, TechInvestorToo who wrote (3486)9/2/1999 10:36:00 PM
From: Jerome  Read Replies (1) of 5482
 
Some possible strategies for this sickly stock.

Instead of selling this stock and taking a modest loss, some salvation can be achieved with options.

If KLIC rises to 21 in the next day as so I would consider writing some OCT. 22 1/2's for 1 1/2 to 1 3/4. You may get called out but if the stock lingers in the 20 range its some income to off set a further decline in the stock price.

If KLIC is going to give an earnings warning I believe that most of the decline is built into the price.

The Sept 20 puts are selling at 1. Might be worthwhile insurance.

If you belive that the this is the bottom then the OCT 22 1/2 calls would be a good choice.

The difficulty in taking a course of action is that there has been no word from the company or the analysts that cover this company to give a clue of the near term outlook.

Selling current shares is not a good choice at the moment. This stock has enough volatility to warrant keeping at current prices.

The first clue regarding the sell off was when KLIC announced some decent orders recently and the stock did not do its usual 3 to 4 point temporary spike as in times past.
Its easy to see these things looking backwards.

Any other thoughts on the matter, or strategy would be appreciated.

Jerome
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News