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To: marginmike who wrote (141271)	1/2/2002 12:04:37 PM
From: Knighty Tin	Read Replies (1) \| Respond to of 436258

MM, I have had mediocre results on Starbucks puts. Part of it is seeing two shops in The Galleria and they both have lines all the time. At the prices they charge, these inexpensive little kiosks have to be big money makers. I don't know about the stand alone stores, but they would have to have a higher breakeven. Retail chains and restaurants tend to follow the same pattern. When each new store is a major % of sales, with this tail wagging the dog, you want to either buy calls or stay on the sidelines. But, when new stores become not only a tail, but a tiny one, it is time to load up on puts. If you wait until same store sales back off, you will usually be too late.