Watching a handful of growth stocks trade today, the dips have been shallow. YELP is at a nice retest area on the chart. I took Jan 57.5 calls here looking for a reversal.
I’m a little under the weather today, so I might have to keep After Hours with Option Addict to a short session. Not much worth talking about in this market, other than set-ups.
By the way, what’s your top pick here?
OA
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PT on the NYQUIL buy?
A hot deuce.
NMBL and BABA
I went large on GPRO weekly puts. Should be a doozy tomorrow. See it sub $50 shortly.
IB tracked this as its single largest short position as of Friday.
Yeah for sure it’s a crowded trade. I don’t think the demand is there to absorb all these shares though. I will happily jump into shares sub $50. Looking for IPO prices really.
The trap has been set…the weak hands have been stopped out and the bears who shorted GPRO in the hole for the last three days will be de-balled with $60+ share prices tomorrow. Bring it!
“The demand isn’t there to absorb all these shares.”
Big assumption, don’t you think? Just because lockup expires doesn’t mean holders will be willing to sell at these prices. Half of the shares controlled by the Woodman family. Rest assured, they’re very aware of the high short interest. I’m sure they’re also plenty mindful of the absolute blockbuster earnings they’re going to be delivering in February. What’s to say they don’t decide to hold onto their shares until then, when they know they’ll be able to sell at much, much higher prices.
Founders, CEO’s, Chairmen don’t care about price activity as far as it concerns selling. They do automatic sells at pre-described times in order to not be accused of insider trading.
Today’s move was pure short covering ahead of the lockup. Very happy to see it up 7% ahead of the lockup.
$AMKR
CBI
UA short. Thank your brother-in-law.
getting long some UGAZ for a RUSL type bounce
Syzurp on icecream #worldstar
How do you feel about NFLX here OA? I have jan 2nds? Thnx
I got NFLX calls too.
Jeff, thoughts on C here? It seems like better entry here compared to BAC.
Like it to $60 here…
Hmmm….I’d get a longer dated option if you do. Not a bad idea.
I am stalking the Jan3’s…you think Feb’s?
Maybe split them and go both ways.
Take a nap. You are excused from AHOA.
Short Dan Nathan market calls.
But for real, $X looks like a good long here today or tomorrow. Getting killed but sitting on support.
AEGR, CYTK, VRNS common on pullback
My top pick is selling my $UGAZ shares last Friday. Backup is $TWTR shares for long term, with $SUNE and possibly $POT in the mix (but I wouldn’t ruin chief’s trade by following him in… I’m officially the AHWOA cooler at this point). Also looking to jump back in $H potentially. Due to the indecision I’m sitting on my hands.
If mkto can trade a couple more days around 34 I like it to 39/41
“The nighttime, sniffling, sneezing so you can get sleep while your wife purchases a hazmat suit for the kid’s medicine”
🙂
Get well soon! we appreciate all the work over the years you’ve done.
YELP, ugly close.
YELP is GarBauge’
Betting against it here?
No sir. Just not buying it is all as it looked much weak to me today to give it a go.
Yelp is my asshole stock. I’ve taken a zero on it every time except for 1…the open table deal. That was destined for zero status but got a Friday morning Hail Mary.
That said, one day it’ll be bought out for a ridiculous premium. I’ll probably miss it.
FCAU (bought a lot at low $11s)
Weird I bot EXAS calls last week at .80 when the stock was trading at $25.50 today it hits $28 and I’m even…lol
Shoulda just not commons IV is a MFer
Gimmie summa that RSUL
Has anyone thought through the GPRO lock-up expiration?
All GPRO share and option holders (employees, insiders, investors) sign a lock-up agreement prior to IPO. Usually, multiple lock-up agreements exist with different terms, even though the expiration date may be the same. Other than the date, I don’t believe the terms are otherwise disclosed publicly. The terms can radically change what the lock-up agreement means in terms of trading shares. We have no idea.
Like many other companies with a fiscal year like GPRO, GPRO is closing their yearly books. This is significant. Every public company that I worked for institutes a long insider trading window during this time, preventing insiders and employees from selling shares. My guess is that GPRO employees are in an insider trading window from now until 3 days after their next earnings call. For an employee or insider to sell, the lock-up must expire, no insider trading windows active and you do not hold material inside information. The real lock-up expiration for these people is most likely Feb. (Though, some insiders could have set up trading plans that change this dynamic.)
Some larger investors, such as VCs, may not be able to sell their shares tomorrow. It depends on the terms of their lock-up agreement, their status or the amount of insider information they hold.. Even if they can sell, I would think that these would be pre-arranged sales to large institutional investors, rather than open market transactions.
In reality, the lock-up expiration is a non-event for GPRO. When the shorts don’t see a downside reaction tomorrow, they will cover and squeeze it higher. If GPRO is going to get hit with insider selling pressure, it will be next year.
I went with DEC 60 GPRO weekly calls. YOLO.
VC’s can sell their shares any time they want. They carry the big stick, it’s called money and power.
The underwriters can also sell any time they want, they concoct the contract. And from your post I can tell that insider trading is something you don’t know much about, so there’s no use in speculating.
CHGG back on the radar.
OA, Does Tepper have an AHWOA subscription?
http://www.cnbc.com/id/102276863
Shorted COH in premarket…got back from the mall last night and was taken back by the pre-Christmas discounting.
Wedbush note from last night concurs…
The analyst note cited weak sell-through for Coach Inc (NYSE: COH) with aggressive handbag promotions including 50 percent off at outlets and an additional 40 percent off clearance items.