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Technology Stocks : Intel Corporation (INTC)
INTC 49.25+0.9%3:59 PM EST

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To: Bernard Newman who wrote (7408)1/5/1997 10:16:00 PM
From: kas1   of 186894
 
>Can you quantify the exact trading ratio between the warrant and >the stock as of now

I can't do it off the top of my head, sorry. But the way it works is that intcw is intrinsically worth some constant amount x less than the stock. Note that you actually pay a little more for intcw because you're paying for the extra leverage.

I am confused by your question about getting the same pop as the stock? Warrants move almost point-for-point with the stock, but because they cost less than the stock, this is more volatile in terms of price%. This means bigger gains, also bigger losses.

There was a really thorough -- downright pedantic -- discussion of this very topic, and exactly how much extra you're paying, maybe a week ago on this thread. Search thru and you'll find it.

Best of luck and happy investing.
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