MON

[oldnemesis]

http://www.wsj.com/articles/bayer-and-monsanto-expected-to-announce-takeover-1473839357

http://stockcharts.com/h-sc/ui?s=mon

128 is the final price. Cash.

There are now many regulatory hurdles to clear. Something like 30 agencies.

http://www.reuters.com/article/us-monsanto-m-a-bayer-antitrust-idUSKCN11K2LG

I will have a trade after market open... but I will have to be careful with this one as so many political and economic interests are involved.

 

[oldnemesis]

so why isn't MON going anywhere today??

http://stockcharts.com/h-sc/ui?s=mon

https://www.thestreet.com/story/137...lators.html?puc=yahoo&cm_ven=YAHOO&yptr=yahoo

Skepticism!

 

[oldnemesis]

If I heard Cramer correctly he "doesn't think it's gonna close".
Ouch.
I promised a trade but my heart isn't in it

Trade:
With MON at 104.70
April '17 80/75 bull put spread for a net credit of $30
Yield = 30/470 = 6.4% in 218 days or 10.7% annualized
Prob = 98%
expectation = .98(30) - .01(470) - .01(235) = 29.4 - 4.7 - 2.4 = 22.3

Price.......... Profit / Loss........ ROM %
55.00............. (475.00)........... -95.00%
70.00............. (475.00)........... -95.00%
75.00............. (475.00)........... -95.00%
79.75.................. 0.00............... 0.00%
80.00................. 25.00.............. 6.40%
85.00................. 25.00.............. 6.40%
100.00............... 25.00.............. 6.40%
115.00............... 25.00.............. 6.40%
130.87............... 25.00.............. 6.4%

 

[darwin666]

thanks . u r very conservative...
mANY folks WONT like such low ROI.. haha ... 10% annualized but little do they realize.
money markets only generate .5 to 1% annual

-------------------------------------------------------

If I heard Cramer correctly he "doesn't think it's gonna close".
Ouch.
I promised a trade but my heart isn't in it

Trade:
With MON at 104.70
April '17 80/75 bull put spread for a net credit of $30
Yield = 30/470 = 6.4% in 218 days or 10.7% annualized
Prob = 98%
expectation = .98(30) - .01(470) - .01(235) = 29.4 - 4.7 - 2.4 = 22.3

Price.......... Profit / Loss........ ROM %
55.00............. (475.00)........... -95.00%
70.00............. (475.00)........... -95.00%
75.00............. (475.00)........... -95.00%
79.75.................. 0.00............... 0.00%
80.00................. 25.00.............. 6.40%
85.00................. 25.00.............. 6.40%
100.00............... 25.00.............. 6.40%
115.00............... 25.00.............. 6.40%
130.87............... 25.00.............. 6.4%