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.
Gold/Mining/Energy : Precious metal company Warrants
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: marcos who wrote (662)1/31/2009 8:07:52 PM
From: tyc:>  Read Replies (1) of 681
 
FWIW After ignoring NGD.wt.a for many months I tool a look at my model and was amazed to see that it showed that the warrants were still trading on the same price curve relative to the stock. In other words, I punched in $2.60 as the price of the stock and it showed .294c as the appropriate price of the warrant.

What is significant about this is that it shows the delta as 18%. At this level the warrant price will move in dollars the same as 18% of the stock price. But 18% of the stock price is .47c. and the warrant's cost only .30c. I am interested !

As the stock moves higher the delta will increase until it is approximately 50% at the strike price, so as the price increases the warrant becomes ever more attractive than the stock.
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