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Biotech / Medical : Sepracor-Looks very promising -- Ignore unavailable to you. Want to Upgrade?


To: BMcV who wrote (1345)10/29/1998 7:27:00 PM
From: Ed Ajootian  Read Replies (1) | Respond to of 10280
 
Bruce,

AWRIGHT, now we're talkin' man! I've got half a mind to dump my entire SEPR stock position on Monday and put it all into SEPR Jan. '01 $70 calls. I'm disappointed that they did not put up higher strike prices.

Anyone want to venture a guess as to what those calls would be worth? Given that this stock has doubled each of the past two years, what would it be worth to folks to have the right to buy it for just 10% over the current quote, more than TWO YEARS FROM NOW!!

I'm gonna throw out a figure of $30 for starters. Peter, what does the Black-Scholes model give you for these babies?