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Technology Stocks : Lam Research (LRCX, NASDAQ): To the Insiders -- Ignore unavailable to you. Want to Upgrade?

To: Jerome who wrote (4819)	7/26/2002 12:30:37 AM
From: Ira Player	Respond to of 5867

Jerome, From past reading, (can't remember where) DELL was a major player in the "use derivatives to support your stock" game. When the stock declined, they would sell large quantities of puts. This would cause the trader on the other side of the market (in order to remain delta neutral) to buy DELL stock! Apparently this worked fairly well until the fall of 2000, when it went terribly wrong and damaged earnings. Do you suppose some of the same action was happening with LRCX? Ira Also, some companies have used put sales as a way to (or attempting to) lower the cost of share buy back programs.