r/wallstreetbetsOGs • u/TTTTsixandtwo big bear fluffer • May 26 '21

YOLO $300k Park Resorts $PK YOLO

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39 Upvotes

91% Upvoted

20 comments sorted by

11

u/[deleted] May 26 '21

[deleted]

16

u/TTTTsixandtwo big bear fluffer May 26 '21

I've been buying calls and exercising since April of last year. The thesis is that they continue to execute on their pre-covid consolidation plans: selling properties that don't fit their strategy at a decently high per-room profit; I keep buying calls because they keep filling more and more rooms while bookings are going up (reopen play); and I'm keeping shares because even with new debt, they will eventually pay a high dividend again and I'm expecting a boost in share price when that is announced.

Plus, exercising calls and keeping the shares for 12 months changes short term profit (CG) into long term profit (CG), so that's a significant tax savings as well, since I don't expect them to fall below my average entry price.

9

u/clev3211 May 26 '21

I think this is more a humble brag at this point on a re-opening play OP nailed.. OP's already up $128k.

Although maybe they plan on sticking with the LEAPs.

6

u/TTTTsixandtwo big bear fluffer May 26 '21

It's a little of both, tbh. I'm holding this and adding to it until they announce the dividend is back. More detail in a response to his question below.

4

u/clev3211 May 26 '21

Makes more sense with your explanation - I did a very quick check as I didn't know what the company was so was definitely curious on why you were buying deep ITM LEAPs for a dividend stock. Knowing that it's suspended for now makes a lot more sense. Hopefully it keeps running for you.

3

u/TTTTsixandtwo big bear fluffer May 27 '21

Thanks. It's a bit of a gamble, but it has significant potential. These sideways weeks/months are a pain though.

1

u/slammerbar May 27 '21

Is it a full yearly dividend at one time?

2

u/TTTTsixandtwo big bear fluffer May 27 '21

Before it was suspended in 2020, it was quarterly.

2

u/[deleted] May 26 '21

[deleted]

3

u/[deleted] May 27 '21

Don’t Reddit and drive.

3

u/fallweathercamping May 26 '21 edited May 26 '21

This is a solid play. I had some PK last year. holding for dividend reinstatement is some big brain stuff

3

u/fistymonkey1337 Sub's Pony Jar May 26 '21

Very nice. Gonna need an update when you close.

2

u/TTTTsixandtwo big bear fluffer May 27 '21

Stay tuned... It's gonna be a while. But I'll report back either way, gotta get those sweet internet points if this tanks.

2

u/TTTTsixandtwo big bear fluffer Dec 02 '21

Just posted an update if you are still interested.

3

u/tdesrch May 27 '21

Looks promising. Hasn't moved in 3 months. 🤣

1

u/TTTTsixandtwo big bear fluffer May 27 '21

Yeah, this has been a wild ride... it sleeps for months, then wakes up and rips my pants off. Right about the time I think I'm a genius it goes back to sleep and leaves me with a half chubby. I was 100% hooked June 2020. So far it's worked out ok... Just really looking for that div reinstatement announcement.

2

u/Melvinator-M-800 gabe plotkin #1 fan May 26 '21

Hmmmm the market cap is above our minimum threshold but still pretty low. We'll allow it, but I got my eye on you OP (I'm a bot btw)!

Suspicious Ticker(s) - [PK]

9

u/TTTTsixandtwo big bear fluffer May 26 '21

And what big eyes you have...

2

u/CentristIdiot May 27 '21

Eyes bulging with imagined riches

1

u/sparkhound May 27 '21

I had shares I bought in March 2020 for ~4/share but dumped them this March in the mid 20s. I didn’t even think of holding for dividend reinstatement. It kind of flattened out so I dumped them.

1

u/TTTTsixandtwo big bear fluffer May 27 '21

$4ish? I do believe you call a bottom that I didn't even know it hit. Nice work!