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kel3

05/28/14 12:02 PM

#25525 RE: ADVFN_jk1550 #25524

I agree Rule_62 is #1
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houtheman

05/28/14 12:18 PM

#25527 RE: ADVFN_jk1550 #25524

ADVFN, I don't normally buy options (I do sell them often) - but PEIX is so undervalued I wanted more long exposure so bought deep in the money calls as I'm maxed out in my account and already on margin. Not much risk with deep in the money calls, and in any case - I am indeed trying to time this and don't believe we have to wait forever for fair value - again, my investment thesis is that the investor conferences PEIX is attending will inflate the share price to fair value based on adjusted EBITDA in the very near term. Institutions don't price stock based on headline EPS. They are buying now and the buying will increase.
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Rule_62

05/28/14 2:20 PM

#25532 RE: ADVFN_jk1550 #25524

I would beg to differ. Houtherman's approach is every bit as valid. The difference is only in the time frame being looked at. I personally believe a wise investor would look to both points being made and take from each depending on their investment objectives. One addresses the shorter term, the other the longer.

BTW as far as I'm concerned, Kel is #1. Kel was here when I first started coming to this board, tirelessly posting one piece of information after the next. To this day, I dare say a lot of investors would be a lot less aware of the opportunities PEIX presents if not for the constant stream of information that Kel contributes to this board on an ongoing, daily basis.

I think this board is richer when everyone focuses on the positives that flow of information brings. To punctuate that point, just let me say that I'm one of the persons who benefitted from the warnings that were posted during Q1 about the upcoming non-cash expense. Had those cautions not been posted, I would not of started looking into the FVA issue and would of taken a bath on calls I held. Thanks to the warnings, I realized a healthy profit on the calls I held, instead of a loss.