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Author:

Jam ok

Subject:

Off Topic

Date:

08/12/16 at 1:05 PM CDT

 

 

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Sentiment:

Neutral

OT - CIEN options

<p>OT - CIEN - I was checking out covered calls on CIEN, given that their earnings are due Sept. 2nd, give or take a day. Unless my calcs are wrong, the return on them are pretty puny - around 2.5% - whereas other companies in the sector often support returns of 3-5% when the options period includes an earnings call. But this always seems to be the case with CIEN. I can't really come up with an explanation of why CIEN calls are treated differently. Unless my brain has 'short-circuted' and my math is wrong.</p> <p>Oh - and I feel like bit of an idiot. A month or so ago, I noted that NVDA had doubled from the low 20's to the high 40's, but thought there might be more room to run, as their new Pascal architecture is just fantastic, their new 1080 line just trounching their 980 line up of video card in price/performance. And  likely just leaving AMD's new-architechture cards in the dust, altho there is yet to be seen how that competition measures up, as NVDA has staggered its product release over time, with the mid-range cards just starting to show up. The point being that now they're in the high $50's. I saw it coming and did nothing. Real clever.</p>

I am not sure there is any reason to expect a crazy upside surprise in CIEN, so the options reflect that. My cost avg is 19, so I am considering doing something. But look at the spreads this morning. not sure anyone knows what they are doing based on earnings.


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Author:

breinejm

Subject:

Off Topic

Sentiment:

Neutral

Date:

08/15/16 at 8:42 AM CDT

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