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To: Jan Crawley who wrote (7415)1/5/2004 1:38:46 PM
From: willcousa  Read Replies (2) | Respond to of 13403
 
OT - KLAC calls trading well above black scholes values. For example the Jan 06 $70 is mean bid and asked $8.85 vs. a b/s value of $6.87. This is generally true of all maturities and prices 6mths or more out. There must be a strong undercurrent of optimism vis a vis' KLAC or a lot of positions being covered.

AMAT shows nothing similar in terms of premium though I would have thought KLAC to be more extended than AMAT at this point.