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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: Seyda who wrote (25012)	4/30/1998 5:59:00 PM
From: Seyda	Respond to of 97611

Patience... There has been a number of posts in this thread regarding the cpq's failure to participate in the recent rallies. CPQ, according to the option parity will probably continue to show weakness as we get into May. The stakes (as of 4/26/98 prices and open interest) for May put and call options balance between 29-30 dollar price range. This rough indicator, in the absence of a major news, points to the closing price of 29 plus fraction at the expiry date. (a) (b) (c) (b+c) 17.50 2100 2100 22.50 49778 49778 25.00 274028 274028 28.00 436316 436316 29.00 1861572 507941 2369513 29.25 1848986 507941 2356927 29.50 1532647 507941 2040588 30.00 864944 507941 1372885 31.00 863144 579567 1442711 32.50 181950 582356 764306 35.00 41160 582356 623516 36.00 585147 585147 41.00 614749 614749 a. closing price b. call loss in $100s at the closest strike price c. put loss in $100s at the closest strike price Hopefully, this turns out to be an underestimation of the price... Regards Seyda