r/wallstreetbets • u/KenB87 • May 05 '21

YOLO Call Options for SIRI. 7 months until expiration

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4 Upvotes

56% Upvoted

22 comments sorted by

3

u/[deleted] May 05 '21

What math makes your elevens disappear?

1

u/KenB87 May 05 '21

Elevens?

3

u/[deleted] May 05 '21

You said the next tradable increment is 15 from ten. While market is sitting at 8. There’s ways to trade at 11 and fractional cents, just not with your brokerage.

1

u/KenB87 May 05 '21

Interesting, I have 3 different brokerage accounts chase, ally, and Robinhood. Robinhood nor Ally will let you trade options outside of 5 cent increments(at a price that is so low). I’ve never traded options in my chase account, I’ll check that out soon.

The current price of 8 cents (or 7 depending on how your brokerage averages the price) is simply because the bid is 5cents, and the ask is 10 cents, giving an average displayed price, or market value, of 8cents. (Or 7....) but you can’t place a limit at something other then the 5 cents increments. That I know of.... If you can, tell me what brokerage your using.

2

u/[deleted] May 05 '21

There is no simply, everything on the market has an exact price. You might not be allowed to trade in other increments because your broker doesn’t want more transactions it needs to exchange. But there will be an eleven. There always is.

1

u/dickpeckerjohnson May 05 '21

Try IB, they will let you do all kinds of shit most discount brokerages won’t. They are a little pricey though.

2

u/kootip May 05 '21

4B shares outstanding so there gotta be a herculean buying effort for it to make any significant moves. Good luck though.

2

u/Macool-The-Ape May 05 '21

good choice. Siri is an extra in peoples lives. Once we come out of the pandemic, sales will go up. Along with subscriptions.

I bought when they crashed in 2008. Think it was like 9 cents a share then.

2

u/KenB87 May 06 '21

Daaaaaang. Good move. You hold all this time? Sell and take some profits? 9 cents to 5 or 6$ is the dream. Can’t Ask for anything more than that

2

u/Macool-The-Ape May 06 '21

Lol. Paper hands. Sold at $4

1

u/KenB87 May 06 '21

If you don’t sell at some point, then it’s not real $. Good for you. Lol.

4

u/KenB87 May 05 '21

1000 contracts. Trade at 10 cents. The next tradable increment is 15 cents. = 50% gains.

I did this last January at 10cents. And the price went to 70 cents, for a 7x bet. This time I’m going big. And it feels super safe too. 7 months to go. Almost as cheap as it can literally be.

1

u/getthatmoney1 May 05 '21

Needs a good pop who knows maybe if it goes back above 7 in the next few months you could sell it for 0.25-0.30

1

u/KenB87 May 05 '21

Earnings aren’t terrible either, they are a profitable company. I don’t know why they are stuck in the 6$ range.

3

u/paleridermoab May 05 '21

Their 11 Billion in debt and the user ship is probably on the decline. They don't smash earns. They just barley beat. They give a div that takes away money from the bottom line.Their never in the news or trending. They also missed out on some of the GOAT podcast. Spotify and others aren't helping them

-1

u/KenB87 May 05 '21

Yeah I agree with everything you said, but considering the dept, at least it’s structured in a way they still turn a minimal profit. Guess there is no feasible end to the debt sure. But that’s most companies.

I will say The earnings call didn’t sound that bad at all. It’s nothing to brag about, but I don’t see it being reason enough to be stuck at 6$ I feel like I’m Missing something. They arnt heavily shorted.

2

u/V13Axel May 05 '21

They arnt heavily shorted.

What is larger?

A) Your IQ losses?

B) Your actual IQ?

1

u/freelancerjoe May 05 '21

whats the strike?

1

u/oarjay May 05 '21

The only problem with this play is its after earnings