umm no...he own shares and is an activist investor. He's not looking to make money off "theta." Also, how does this massive CMG position hedge against anything else he holds?
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Ackman Buy's Big Stake in CMG, Was Wondering Why It Traded Weird!
- Thread starter JesseJamesFinn1
- Start date
umm no...he own shares and is an activist investor. He's not looking to make money off "theta." Also, how does this massive CMG position hedge against anything else he holds?
Its trading in a good channel for us to play it, I bought some of the $435 Puts at $3-$4.1 sold them at $6.60 average, nice trading range with a stock making logical sense. I have no idea where we go from here, a battle between the Titans is best that we act like a Pilot Fish and take the small chunks of fish left behind. For me buying smaller size of 15-30 contracts with CMG is good, other traders with smaller accounts can benefit too.
If a smaller trader followed CMG, say they bought 4 contracts at $3 or $3.5 and sold them at $5.8-$6.9(if they were lucky because nobody got out anything at $7 on the $435 Puts) its a good days pay for $1200-$1400 worth of your account. Where do you think CMG will end the day, I got no idea but I am leaning it will remain in the $430s unless it breaks down hard.
If a smaller trader followed CMG, say they bought 4 contracts at $3 or $3.5 and sold them at $5.8-$6.9(if they were lucky because nobody got out anything at $7 on the $435 Puts) its a good days pay for $1200-$1400 worth of your account. Where do you think CMG will end the day, I got no idea but I am leaning it will remain in the $430s unless it breaks down hard.
Its trading in a good channel for us to play it, I bought some of the $435 Puts at $3-$4.1 sold them at $6.60 average, nice trading range with a stock making logical sense. I have no idea where we go from here, a battle between the Titans is best that we act like a Pilot Fish and take the small chunks of fish left behind. For me buying smaller size of 15-30 contracts with CMG is good, other traders with smaller accounts can benefit too.
If a smaller trader followed CMG, say they bought 4 contracts at $3 or $3.5 and sold them at $5.8-$6.9(if they were lucky because nobody got out anything at $7 on the $435 Puts) its a good days pay for $1200-$1400 worth of your account. Where do you think CMG will end the day, I got no idea but I am leaning it will remain in the $430s unless it breaks down hard.
I think its going to trend up over the next few days, slowly but surely.
I think its going to trend up over the next few days, slowly but surely.
I can grab a few $435 Calls to ride this train up, did you see Sprint (S) is moving up along with Autodesk. ADSK had a great Q but Wall Street analysts were not believers in their new subscription based business. We can get $70 plus at the rate its moving, good luck!
You're killin' FB. Good job.
Pigflix is down .... go figure huh.
Why did Pigflix head back up so quickly after earnings? I wanted to post a thread on the Electro-Optical stocks when you mentioned FNSR. Everyone had the chance to evaluate LITE, its the Hedge Funds darling along with small cap OCLR and NPTN. I dumped all my CMG as I wait on the sidelines, won't brag like that Youtube trader because I feel it kind of jinx's people.
He would have to disclose if he had any options position or any other derivative.if you think this is not a hedge position on ackman good luck ....he's making money already by killing theta
People look at the PE and think the stock is overvalued, but on a price to cashflow or price to operating earnings, the stock is a bit cheap compared to competitors and its still a young company (unlike MCD), so if management does a good job, the potential is quite significant
Here is an interesting article
"
Here's the thing about Chipotle. Its shares have literally been cut in half since it had a series of foodborne illness crises at the end of last year. The thing about it is that -- and I've written about this on Fool.com regularly over the past few months -- every other major food company, for the most part, in the United States has been through a similar experience, in terms of food-borne illness crises, seeing their stock fall, and then gone on to produce large gains. Whether that's Jack in the Box, McDonald's, Yum! Brands-- which owns KFC, Pizza Hut and Taco Bell.
Gaby Lapera: Can I ask you a question?
Maxfield: Of course.
Lapera: Have other brands had as a prolonged time period with foodborne illness news?
Maxfield: Really good point. There are some unique characteristics about Chipotle's foodborne illness situation. The first is that, like McDonald's -- its big E. coli scandal was I think in 1993, so that was pre-internet so you didn't have that proliferation of information the same way that it happens now online. You didn't have that. However, while Chipotle seems like it's gone on for a long time, I think that what you really want to look at is the severity of the crisis itself. In that regard, Chipotle's was actually not very severe. Let me give you an example. Jack in the Box dealt with an E. coli situation, I can't remember exactly when that was. It was a couple of decades ago. Something like four people died from it."
http://www.fool.com/investing/2016/...gn=article&utm_medium=feed&utm_source=yahoo-2
"
Here's the thing about Chipotle. Its shares have literally been cut in half since it had a series of foodborne illness crises at the end of last year. The thing about it is that -- and I've written about this on Fool.com regularly over the past few months -- every other major food company, for the most part, in the United States has been through a similar experience, in terms of food-borne illness crises, seeing their stock fall, and then gone on to produce large gains. Whether that's Jack in the Box, McDonald's, Yum! Brands-- which owns KFC, Pizza Hut and Taco Bell.
Gaby Lapera: Can I ask you a question?
Maxfield: Of course.
Lapera: Have other brands had as a prolonged time period with foodborne illness news?
Maxfield: Really good point. There are some unique characteristics about Chipotle's foodborne illness situation. The first is that, like McDonald's -- its big E. coli scandal was I think in 1993, so that was pre-internet so you didn't have that proliferation of information the same way that it happens now online. You didn't have that. However, while Chipotle seems like it's gone on for a long time, I think that what you really want to look at is the severity of the crisis itself. In that regard, Chipotle's was actually not very severe. Let me give you an example. Jack in the Box dealt with an E. coli situation, I can't remember exactly when that was. It was a couple of decades ago. Something like four people died from it."
http://www.fool.com/investing/2016/...gn=article&utm_medium=feed&utm_source=yahoo-2
Here is an interesting article
"
Here's the thing about Chipotle. Its shares have literally been cut in half since it had a series of foodborne illness crises at the end of last year. The thing about it is that -- and I've written about this on Fool.com regularly over the past few months -- every other major food company, for the most part, in the United States has been through a similar experience, in terms of food-borne illness crises, seeing their stock fall, and then gone on to produce large gains. Whether that's Jack in the Box, McDonald's, Yum! Brands-- which owns KFC, Pizza Hut and Taco Bell.
Gaby Lapera: Can I ask you a question?
Maxfield: Of course.
Lapera: Have other brands had as a prolonged time period with foodborne illness news?
Maxfield: Really good point. There are some unique characteristics about Chipotle's foodborne illness situation. The first is that, like McDonald's -- its big E. coli scandal was I think in 1993, so that was pre-internet so you didn't have that proliferation of information the same way that it happens now online. You didn't have that. However, while Chipotle seems like it's gone on for a long time, I think that what you really want to look at is the severity of the crisis itself. In that regard, Chipotle's was actually not very severe. Let me give you an example. Jack in the Box dealt with an E. coli situation, I can't remember exactly when that was. It was a couple of decades ago. Something like four people died from it."
http://www.fool.com/investing/2016/...gn=article&utm_medium=feed&utm_source=yahoo-2
Good article, if you remember with FoodMaker it took almost ten years for JACK to get that debacle over or was it a new generation of kids fueling their growth? The public are not the smartest group of people, FoodMaker had to endure the Late Show's jokes about "Three ways of execution in Washington State, one "lethal injection", two "electrocution" and three "Drive thru at Jack-in-the-Box. You know their using the best consulting firms and taking what Foodmaker and Von(Safeway divsion) did to reclaim their business from that giant Ecoli outbreak. It took me five years before I would return to JACK, with Chipotles I keep in touch with people who "mystery shop" for CMG and they have said the sales from before the outbreak have not recovered. If we can get a edge by using any form of data collecting that's another way for us to compete. Wall Street is using comps from CAKE, BWLD, RUTH to guess how JWN and M are doing. Let's make some bank on those stocks by working together on Elite!
Cramer covered it tonight. Made a good point about next years comp SSS's being an easy beat, but he also alluded to waiting for a pullback to $400. FWIW... just Cramer talk. Who knows.Good article, if you remember with FoodMaker it took almost ten years for JACK to get that debacle over or was it a new generation of kids fueling their growth? The public are not the smartest group of people, FoodMaker had to endure the Late Show's jokes about "Three ways of execution in Washington State, one "lethal injection", two "electrocution" and three "Drive thru at Jack-in-the-Box. You know their using the best consulting firms and taking what Foodmaker and Von(Safeway divsion) did to reclaim their business from that giant Ecoli outbreak. It took me five years before I would return to JACK, with Chipotles I keep in touch with people who "mystery shop" for CMG and they have said the sales from before the outbreak have not recovered. If we can get a edge by using any form of data collecting that's another way for us to compete. Wall Street is using comps from CAKE, BWLD, RUTH to guess how JWN and M are doing. Let's make some bank on those stocks by working together on Elite!
Schultz from Starbucks was on... they're opening a store a day in China.
JJ... didn't you say something about Yum not doing well in China? I don't think that's correct. I don't really follow them, but I think the reason they spun the China Division off was that it was doing so well. As I remember, YUM China was the only thing making money for them for a long time.
If they even whisper "CMG China"......... this puppy will see $600 overnight. Ackman owns almost 10%.... he's gonna do something.