Advanced Option Strategies Message Board

STOCKTALK

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.

Strategies & Market Trends : Advanced Option Strategies

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: tyc:> who wrote (286)	1/27/2000 9:35:00 PM
From: Robert T. Quasius	Read Replies (1) of 355

Here's an opportunity to make a profit on an option. Cross Timbers Oil is selling at a substantial discount to it's peers, at $8-1/4, which is 2X estimated FY2000 cash flow from operations. 5X cash flow is a historic valuation. August 10 Put options are selling at $2-3/4 bid, $3-1/8 ask, with a Black-Scholes value of $2-11/64. May 10 Puts are selling at $2-5/16 bid, $2-11/16 ask, which is also a good deal. This stock should sell at easily $10 plus by August, and if not, a net price of $5-1/2 is dirt cheap to establish a long position.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next