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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: Oeconomicus who wrote (9256)	4/8/1998 1:26:00 AM
From: damniseedemons	Respond to of 27307

Bob, Look, I am as bullish as ever... but the way the options premiums were since we're so close to expiration, I would be a fool not to take advantage of the opportunity presented to me. I think there's a very remote chance that YHOO tanks in the near term--I've always thought that--but if, Heaven forbid, it does, I won't get killed. And if it goes up, I participate at least 100% on the upside. What better position could I ask for? Moreover, I control exactly the same number of shares--be they outright stock or call options--that I did from the beginning. So no change in my YHOO position; it's sorta like I bought short-term warrants. And since I'll be buying more tomorrow (well, that's the plan now but is of course potentially subject to change), I'm going to control still more shares! Net net, my stance indicates that I'm very bullish post-earnings (but of course if I'm wrong, I'm positioned such that it won't be devastating). >Just not as bullish as an unhedged long position like our buddy Bill.> Mine is not quite a hedged position. If I were hedging, I'd be poised to both make and lose money (they would cancel out somewhat) no matter which way the stock went (like if I bought puts and hoped they'd expire worthless, meanwhile my long stock went higher). But the way I'm set up, if the stock goes up I make money, if the stock goes down I lose money. So in that respect, I don't have a hedge set up. The only change with me is that my floor is a lot higher than someone who only owns the common stock. -Sal