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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Wyätt Gwyön who wrote (128921)	5/12/2003 9:14:11 AM
From: Art Bechhoefer	Read Replies (4) \| Respond to of 152472

The current out-of-favor sentiment toward QCOM could create an interesting option play for the upside. Suppose an investor sold put options (i.e., write a put) with a striking price of 35 and expiration in July. If the stock reaches or exceeds 35 by the expiration date, July 18, the investor will pocket the proceeds from the put sale. If the stock fails to reach 35 by expiration day and the investor continues holding the put options, the shares will be "put" to the investor at 35, but the net purchase price will be less than the current market price today. Any comments? Art