Full Disclosure Trading 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.

Technology Stocks : Full Disclosure Trading

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: willcousa who wrote (7421)	1/5/2004 2:00:55 PM
From: Ira Player	Read Replies (1) of 13403

OT I don't understand "$8.85 vs. a b/s value of $6.87"? Black-Sholes valuation is very sensitive to the Implied Volatility used. What IV value are you assuming for KLAC? (It appears to be 29%) Using a risk free interest rate of 2% and calculating Implied Volatility with KLAC at 58.99: Mar 04 60 Strike average of B/A = $3.65 IV = 36% Jan 06 70 Strike average of B/A = $8.90 IV = 35% Nothing appears inconsistent. Ira

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next