Market Cap - F 60 Billion, GM 51 Billion, TSLA 24 Billion

FXforex

FXforex

Market Cap - F 60 Billion, GM 51 Billion, TSLA 24 Billion



  • TSLA at $197.00
  • 190 Feb14 weekly puts at $2.09


IMO ....... TSLA is grossly over valued. I am thinking of buying the 190 Feb14 weekly puts. Maybe today or Wednesday. Will update when/if I open the position.
 
Earnings Wed 19th post market...

Personally I like the March 160 Put for 4.25 - give you some time to let stock fall after the run into earnings.

With the weekly ending so soon (14th) you're hoping for a huge downgrade, or another car fire.... not a bet I'd take. Plus you're OTM, so if it moves down a little do you take a profit of 50$ ? (decay going to kill you) or do you hope to strike it big .... which usually means 100% loss.
 
TSLA:

http://www.bloomberg.com/news/2014-...stors-anticipate-foreign-sale.html?cmpid=yhoo

http://wallstcheatsheet.com/stocks/...-on-chinas-stronger-subsidy-plan.html/?ref=YF

http://www.forbes.com/sites/dalebus...-tesla-so-does-the-bachelor/?partner=yahootix

http://blogs.wsj.com/moneybeat/2014/02/11/tesla-shares-hit-200-question-is-how-hard/?mod=yahoo_hs

http://finance.yahoo.com/q/ks?s=TSLA+Key+Statistics

http://finance.yahoo.com/q/bc?s=TSLA&t=1y&l=off&z=l&q=l&c=

Trade:
with TSLA at 196.62
Buy the Jun 185 call and sell the March 190 call for a net debit of $1,175.00

at March expiration (3/21):

Price............................Profit / Loss........................ROI %
138.75........................ (417.00).......................... -35.49%
151.88................................ 0.00................................. 0.00%
159.29........................... 279.80.............................. 23.81%
180.91........................ 1336.80............................ 113.77%
185.00......................... 1536.70........................... 130.78%
190.00......................... 1867.60........................... 158.94%
202.53.......................... 1443.80.......................... 122.88%
224.15............................. 795.20............................. 67.68%
245.78............................. 376.00............................. 32.00%

(assuming vol constant since you have to sell back the June to make these numbers)
 
FXforex said:
  • TSLA at $199.13
  • Bought 1 contract 190 Feb14 weekly put at $1.51
More...

UPDATE

Position still open, 2 days to expiry.

tsla-3.png


TSLA 5-Day Chart - Green dot bought 1 contract 190 Feb14 weekly put at $1.51
 
Thanks for posting your trade FX and also your info on my GS post. I will keep an eye on this one too. The option premium on this stock is insane, but given the volatility, I guess it is warranted. If you are still holding, it looks like TSLA will open down today, giving you some nice returns. Good luck.

I would be worried buying an option so close to expiry, but this one seems to be working out.
 
FXforex said:
February 11th, 2014, 03:21 PM EST

  • TSLA at $199.13
  • Bought 1 contract 190 Feb14 weekly put at $1.51
More...

UPDATE

Position still open, 1 day to expiry.

tsla-4.png


TSLA 5-Day Chart - Green dot bought 1 contract 190 Feb14 weekly put at $1.51
 
This stock has a range of $10+ intraday. Crazy to watch. Tempting to pick up some puts on the last day before expiry for a lotterty ticket :)
 
FXforex said:
February 11th, 2014, 03:21 PM EST

  • TSLA at $199.13
  • Bought 1 contract 190 Feb14 weekly put at $1.51
More...


UPDATE

Position expired worthless.

tsla-5.png


TSLA 5-Day Chart - Green dot bought 1 contract 190 Feb14 weekly put at $1.51
 
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