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Technology Stocks : Dell Technologies Inc.
DELL 120.60+1.8%Jan 9 3:59 PM EST

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To: McNabb Brothers who wrote (17013)9/25/1997 1:20:00 AM
From: Sig   of 176387
 
Hank:
I understand you go both long and short on Dell at various times.
My arguments for being long are as follows:
Dell calls.........................Simple appr...Annual appr
DLQKY purchased 6-16-97 at $8= $43 ...387% ...... 32,271 %
DLQAL ...........6-30-97 at $9=$39....307%....... 36,688 %
DLQKP............8-13-97 at $11=$20...87%......... 8,677%.
LDEAN.(leap).....7-21-97 at $$29=$48...64%........ 1529%
(these are not all I have)
(The KY and the KP expire in Nov)
The difference between playing these longs, is that it
sometimes requires patience for a month or 3 for them to
start growing, and surviving the temp price setbacks.
And of course the indicated annual appr. will not happen.
But if Dells price goes to $150 by Jan,as I expect, the simple appr.on the DAQAL will be @ 900 % in 6 months.
I am sure you have much more experience with options than I do
so you can relate this performance,( which I am very,very,
happy with), to what you can do by shorting the stock.
Sig
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