Altaba Inc. (formerly Yahoo) Message Board

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Technology Stocks : Altaba Inc. (formerly Yahoo)

AABA 19.63

0.0%

Nov 6 4:00 PM EST

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To: Robert Goosmann who wrote (5138)	12/29/1997 12:21:00 PM
From: LRS	Read Replies (1) of 27307

I definitely did not buy those calls! My guess is that there are large players out there selling large quantities of calls because they believe that this stock will come down (these are probably the same players who are bidding the stock up right now to make their portfolios look better; since they know they will be selling these same shares in Jan/Feb/Mar, it makes sense for them to either buy puts or sell calls since YHOO's stock price will be lower). In the example in my previous post someone (or multiple parties) sold 250 Apr 40 contracts (so calls on 25,000 YHOO shares) at $29 per share (so they pocket $750,000 and hope that the stock goes down a lot). Just my opinion though--I am no expert. (Someone might argue that they bought these same calls on Oct 28th for $10 and are now realizing a $19/share gain right now; I would counter that this makes no sense because if they were smart tax wise, they would wait until January 1 and push the tax liability to April of 1999.)

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