Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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.

Biotech / Medical : Sepracor-Looks very promising -- Ignore unavailable to you. Want to Upgrade?

To: Londo who wrote (6027)	6/15/2002 5:10:28 PM
From: Rocky9	Read Replies (1) \| Respond to of 10280

"Buying SEPR common, and selling January 2005 20 calls would be an even safer way of playing the stock." I agree, but I don't think that someone bought a 200,000 share position yesterday. An institution could be hedging its existing position. The hedge would limit its gain to around 40% compound return for the 2.5 year period. In exchange it receives a current 27.5% return (or protection down to 7.10/sh). My bet is a buyer rather than a seller. Someone should ask the specialist. Maybe I will.

To: Londo who wrote (6027)	6/16/2002 9:40:43 AM
From: IRWIN JAMES FRANKEL	Read Replies (1) \| Respond to of 10280

More on leaps. "As far as I know, it was between the bid/ask spread at the time." At the close with SEPR at 10.14 the B/A was 2.60/3.00. With SEPR at 9.80 and a trade at 2.70 that looks like it is closer to what the ask would have been at the time leading to the inference that the trade was innitiated with a buy. (oi 0) 1,500 call contracts traded in the '04's strike 15 (oi 2471) last 2.40 B/A 2.55/2.95 and 1,500 call contracts traded in the '04's strike 20 (oi 2078) last 1.50 B/A 1.60/1.85. It will be interesting to see what happens to the oi in all three contracts. I would guess the 1,500 contracts in the '04 strikes were a roll down. ij