While TWTR is mighty tempting here from a premium selling standpoint (its IV has gotten somewhat frisky), I've never made a habit of playing "buyout rumors." These can end badly for those who take a position above where the proposed buyout is. Post-buyout announcement, the stock pops/drops to the buyout price and doesn't move significantly thereafter, and you're potentially left holding someone else's bag. My position is that "too bad, so sad" I wasn't holding long before the rumors surfaced, but I'm sure not going to chase price here when it's popped to this degree.
What I am watching for is a potential "buyout rumor failure" play. We've seen how these things have gone before: adrenaline/caffeine/coke-laced crank-out of speculative media reports regarding who the players are, what the buyout should be priced at, yada yada, only to have these stories evaporate into thin air, for negotiations to fail, etc., and the stock price to quickly cave thereafter in a blue, crumpled heap, gasping for air ... .
Lower is generally almost always better ... . The distance to zero is generally less than the distance to infinity as far as price is concerned.
What I am watching for is a potential "buyout rumor failure" play. We've seen how these things have gone before: adrenaline/caffeine/coke-laced crank-out of speculative media reports regarding who the players are, what the buyout should be priced at, yada yada, only to have these stories evaporate into thin air, for negotiations to fail, etc., and the stock price to quickly cave thereafter in a blue, crumpled heap, gasping for air ... .
Lower is generally almost always better ... . The distance to zero is generally less than the distance to infinity as far as price is concerned.
注释
Oh, wow. More weakness here on rumors that the last bidder -- 注释
Nov 25th 14 short puts are going for .48 ($48)/contract credit at the mid. With earnings now 13 days out, holding my breath a little longer for further cave-age. Their earnings have, at best, been "not as bad as expected" the last several quarters.免责声明
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这些信息和出版物并非旨在提供,也不构成TradingView提供或认可的任何形式的财务、投资、交易或其他类型的建议或推荐。请阅读使用条款了解更多信息。
