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Biotech / Medical : Biotech Valuation -- Ignore unavailable to you. Want to Upgrade?


To: Biomaven who wrote (13353)10/6/2004 3:44:59 PM
From: Sam Citron  Respond to of 52153
 
Peter,

The really nice thing about the buy/write play here is that the exceptionally large call premium combined with the out of the money strike gives you a rather nice potential profit opportunity of close to 75%, which is not a bad upside for 5 months work, unless you are piggish, and I know that is not your style. <g> And as has been already mentioned you get 25% downside protection in the bargain.

So what's not to like?

Sam