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Re: longdong_63 post# 122297

Saturday, 06/21/2003 5:21:25 PM

Saturday, June 21, 2003 5:21:25 PM

Post# of 704041
ld...

Interesting - thanks for the information.

Comparing the charts (had to go to BigCharts, could not find the warrants on StockCharts), although it does not follow WHT penny for penney because of the premium, there is a significantly larger percentage move (almost double) in the warrants than the stock which makes it worth looking at, although liquidity may be a problem.

The premium is about 12.5 cents or a little over 10% per year, so the stock has to go up around 9% per year to break even (compounded). That would make it a poor long term investment unless the stock made a really big move (certainly possible) but a good trading vehicle, especially as we approach expiration when the premium will be much lower and the warrant will trade closer to penny for penny. That is the same conclusion I came to with the INTC warrants, and they worked out very well for trades, especially in the last year or so.

Thanks again for the information.

mlsoft

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