Options, understandings and tactics
by megfk | April 25, 2014 3:54 pm
Alan – We open here a forum for discussing options[1]. It might be helpful to open the discussion with a copy of the paragraphs that I wrote 4/24 about options. I don’t know how to cut-and-paste that material.
Before I opened this discussion forum, I noticed a question about choosing a stock that might perform well as an option. I’ve already briefly addressed the subject…and would appreciate knowing about the thinking of others.
I have years of experience, but could not pass myself off as an ”expert.” I prefer that this discussion forum be a gathering of investors with an interest in options…with all of those with greater experience contributing things that they have learned. Our goal is to benefit one another.
- options: https://www.stockgumshoe.com/tag/options/
Source URL: https://www.stockgumshoe.com/2014/04/microblog-options-understandings-and-tactics/
$AR Registers #TwentyFold Volume Antero Resources (AR – NYSE)
http://www.bottarelliresearch.com/free/2017/12/06/ar-registers-twentyfold-volume by Bottarelli Research Wednesday, December 06, 2017
Detecting the most unusual trade wasn’t difficult today. Have you ever heard of Antero Resources AR – NYSE? Neither had we, not until someone bought 5,000 AR February 20 calls for $0.55 each…
Also posted on the #Oil – #BlackGold, #TexasTea thread: https://www.stockgumshoe.com/2016/05/microblog-oil-black-gold-texas-tea/ Best2AllAlwayz! – >>>–BenJammin’————-> 🙂
$SBUX: Is SBUX Good for Some Holiday Cheer? Starbucks SBUX NASDAQ http://www.bottarelliresearch.com/free/2017/12/07/sbux-good-holiday-cheer
TTG Top Aggressive #option activity
CALLS: $TEVA $VRX $WDC $MDT $ETSY $INTC $XLE $MAC $RVNC $PZZA $JACK $GSK $CRR $MOMO $AKS $TRN $BSX $NCLH $ADSK $SHAK $HTZ
https://twitter.com/cfromhertz/status/939250274430046209
$ONCE Upon a Biotech Free-Fall… Spark Therapeutics (ONCE – NASDAQ)
by Bottarelli Research Tuesday, December 12, 2017 http://www.bottarelliresearch.com/free/2017/12/12/once-upon-biotech-free-fall
$SERV – The Most Unusual Options Trade You’ll Ever See
ServiceMaster (SERV – NYSE) http://www.bottarelliresearch.com/free/2017/12/13/unusual-options-trade-youll-see
This China $EDU Trade Just Set the Curve
New Oriental Education & Tech (EDU – NYSE)
http://www.bottarelliresearch.com/free/2017/12/14/china-edu-trade-set-curve
$ADI – Expect Semiconductor Stocks to Stay Hot
Analog Devices (ADI – NASDAQ)
http://www.bottarelliresearch.com/free/2017/12/15/expect-semiconductor-stocks-stay-hot
$WEN – Watch for a WEN Buyout Wendy’s WEN – NASDAQ http://www.bottarelliresearch.com/free/2017/12/19/watch-wen-buyout
Can $GOOS Keep Going? Canada Goose GOOS – NYSE http://www.bottarelliresearch.com/free/2017/12/21/goos-keep-going
Hi
I’ve tried over two dozen advisory services and NONE have delivered a consistently profitable performance.( If one had, I would have stayed with it)
I’ve done best when doing my own DD, using what I’ve learned from the various services about position sizing, stops, etc.
It’s like Travis said, “ you can make a little money if you have a lot of money”. I think trading will be an expensive hobby, not a retirement income!
BOB K
$HOV Bought to open (Long) Aug, 2018 $1 calls…
If you want to own the stock, what is the best put option to sell? TIA
A $73 Stock Trading for $2.24?
by Bottarelli Research Friday, February 23, 2018
Want to leverage the power of options? Then listen up, because it doesn’t get much better than this…
Hovnanian Enterprises HOV – NYSE is the tenth largest homebuilder in the country. At the height of the housing bubble, HOV was a $73.00 stock. Currently, it trades for $2.24.
Over $4 billion of market value has been wiped out, leaving a current valuation of $314 million. Meanwhile, other homebuilder stocks are up big over the last 52 weeks…
Toll Brothers TOL – NYSE is up 42%.
PulteGroup PHM – NYSE is up 36%.
D.R. Horton DHI – NYSE is up 46%.
Lennar LEN – NYSE is up 28%.
So why has HOV underperformed?
Hovnanian is still struggling to get out from underneath a mountain of debt built up during the housing boom. As a result, the company’s bonds are pegged as junk. Plus, a default on an interest payment this past spring rattled investors.
You see, GSO Capital Partners bought credit-default swap contracts that paid out if HOV missed a coupon payment. Then, GSO agreed to refinance Hovnanian’s debt if they agreed to skip a payment — allowing GSO to get paid on their default contracts, and Hovnanian to avoid bankruptcy.
The problem is, the hedge fund on the other side of the trade with GSO (which most likely lost money) contested the deal in court. Although similar transactions have gone through in the past, and Hovnanian defended its role in the deal as a way to strategically manage debt, the stock still dropped nearly 40% this year.
So now is HOV too cheap to ignore?
According to Barron’s, “At these distressed levels, Hovnanian offers an interesting speculative bet, because more than a decade’s worth of problems are reflected in the price.”
An anonymous distressed-company investor said “It doesn’t take a lot to get this stock back to $4.00.”
What could be a future upside trigger?
Real Estate Rebound: Construction of new homes increased last month according to the Commerce Department. Also noteworthy, the homebuilding industry built fewer private homes last year than in 1981, when the U.S. population was a third smaller. A rising tide in real estate could finally begin to lift HOV.
Legal Resolution: A successful resolution of HOV’s legal issues could bring value investors back into the shares.
Profits: Wall Street analysts expect HOV’s earnings per share (-$2.25 in the year to last October) to be -$0.03 this fiscal year and -$0.01 in October 2019. If HOV can beat this expectation — and perhaps even come in positive — shares could significantly bounce.
Takeover Talks: On any sort of acquisition rumor, which could certainly trigger at any moment given HOV’s valuation, shares could move smartly higher.
Not only that, but HOV’s past losses have created a massive carry-forward tax loss — up to $2.1 billion in future profits.
From a chart perspective, HOV has been setting a series of rising bottoms, indicating the lows just might be in. With housing purchase prices rising by an average of 6% annually for the past five years, this looks promising.
HOV
But how should you play it?
Right now, you can buy the HOV August 1 Calls O:HOV 18H1.00D17 at $1.20 to $1.50 per contract. With the stock currently trading at $2.33, that means you’re paying virtually nothing to carry this position.
Specifically, for every contract you own, you’d have the right to buy 100 shares of HOV for $1.00 per share anytime between now and August 17.
If HOV happens to trade at $4.00 by August, these calls would be worth $3.00, good for a 130% gain. To us, this is a speculation worth making.
Ad
Want More Trading Opportunities Just Like This?
Join Bottarelli Research Options and you’ll receive instant notifications on the very best trading opportunities every day. If you like our tips, then we invite you to become part of our trading group….
#Best2ALL! 🙂 #EducateUS 🙂 Please
$HOV – 20180308 > Hovnanian Enterprises Announces First Quarter Fiscal Year 2018 Earnings Release and Conference Call http://globenewswire.com/news-release/2018/02/22/1380198/0/en/Hovnanian-Enterprises-Announces-First-Quarter-Fiscal-Year-2018-Earnings-Release-and-Conference-Call.html
Is there any update since Feb 2018 on discussing options? Has this discussion been relocated on this site?
thanks!
Not a lot of options chatter hereabouts recently, though you’re welcome to try to revive it with some regular posting.
Thread still active… Welcome to the Gummunity RitaM108 🙂 Shall list other newer threads later this a.m.
$NFLX earnings can go either way. and other techs will follow. if you wanna play both sides 1:1 to maximize your potential gains, high open this morning could be good entry for puts. Oct19 290p @ 3.1 good to consider as one of those options. but if u do it, get calls later. 🙂 #ThankYOU! 🙂
https://twitter.com/option_snipper/status/1052196603547852800 🙂
Dear Reader,
Have you ever noticed that everyone wants investors like you to think using options is hard?
The truth is there is no easier way to make money…especially in today’s market.
Ultimate Beginner’s Guide to Options Trading
But most people miss out on the biggest profits of their life because they don’t know how to get started.
I’m determined to change that. So I’ve developed an easy to use system that will have you making winning trades in no time.
And today I’m giving you access to it absolutely free.
In your free Special Report, I’ll share the proven strategies I’ve used for more than 20 years…
The same strategies behind my current streak of 24 straight winning trades…
The same strategies that I used to rack up profits of 75% on Shopify, 130% on Microsoft, 140% on Facebook, and even 422% overnight on Chipotle.
Read it now to learn:
My proven 3 step-system for finding the perfect trades over and over again.
How to figure out in an instant whether an option is cheap or expensive.
The simple trick that automatically accelerates your profits.
The secret to wringing the risk out of every trade you make.
How to get started with as little as $100.
The one number way to boost your profits while limiting your risk.
And MUCH MORE.
Click to get this $79 guide absolutely free.> https://report.themoneymanifesto.com/opt-strat-guide-ron-ao/?cookieUUID=49422b93-87c4-4c6f-9658-d216e6cf3542
Read it now and see for yourself just how easy it is to start making money today.
Yours for Bigger Profits,
Adam Mesh
P.S. I don’t know how much longer I’ll be able to convince my team to keep giving this valuable guide away for free. So don’t miss this chance to get it while you can. Click here to get your free copy now… 🙂 #AdamMesh, Kewl peoplez 🙂 #Best2ALL! 🙂 #BenJammin’ 🙂
“@Ultra_Calls: $JAGX Another 13G
http://secfilings.nasdaq.com/filingFrameset.asp?FilingID=13011435&RcvdDate=10/17/2018&CoName=JAGUAR%20HEALTH%2C%20INC.&FormType=SC%2013G&View=html …” +1 institutions loading up big time.
ThanYOU! https://twitter.com/ACInvestorBlog/status/1052601678489214979 #Best2ALL!
Is Alan back in gumshoe land? Sure miss that guy!
We are looking to build our options trading forum. https://www.stockgumshoe.com/reviews/great-wize-oz/ Hit on our site link and join the free forum to discuss timely ideas with the group.