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Technology Stocks : MEMC INT'L. (WFR -NYSE) The Sleeping Giant?

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To: Joe Dancy who wrote (2019)8/10/1997 2:29:00 AM
From: ----------   of 4697
 
Joe:

You read correctly. Best value is the highest priced one. Maybe not
the best play, but the best value.

The 20's have 5 1/8 "time premium" in them

The 25's have 7 1/2 " " " " "

The 30's have 10 1/2 " " " " "

the 20's have 7 1/2 of "intrinsic value, as the stock is at 27 1/2.
12 5/8 - 7 1/2 = 5 1/8 of time value.... (or as I like to call it, "juice").

if you add the option price to the strike price of the option, you
get the stock price necessary for you to break even. Everything above that number is profit

. Hope this helps

Doug
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