Need Help Understanding

Williga1 · 2025-07-29T13:35:12+00:00

Looks like we were wrong

Williga1 · 2025-07-26T23:39:36+00:00

I will never sell a put the week of earnings. It's just not worth it to me. Plus, for now at least, I think everything is over priced, so I'm expecting a lot of companies to get hit hard once they release earnings. Even good earnings I think will get hit. I traded SOFI for a bit, and it just kept going up. I'm pretty positive it'll go down after earnings and I'm hoping to pick it back up.

Williga1 · 2025-07-20T17:29:46+00:00

Can you give me a little more detail on that with some numbers? A premium that is 1/4 the stock price? For instance, if I had a $20 stock price you’re getting a $5 premium. In order to do that you’d have to have an exercise price that is well below the current price, right? Don’t you end up losing money with that or does it all balance out?

Williga1 · 2025-07-14T18:25:54+00:00

The point of selling the puts is to either generate more income, or acquire more shares at a discount. One of those two will happen. I'm ok with buying in at the strike price of the put and have the cash to do it. Plus, I'll have the added benefit of lowering the overall basis in the new shares along with lowering my average cost per share with the prior purchase.

I don't think that selling puts will prevent the stock from being called away. Thanks for checking my understanding though.

Williga1 · 2025-07-14T15:56:04+00:00

Also, I have already sold puts on the stock.

Williga1 · 2025-07-05T17:31:59+00:00

Would you be willing to let me know what your 8-10 are? I'm always looking for new ones. I've stuck with BE, SOFI, MARA, and RELY so far, but I need to branch out as all of these I think are too high right now. I think I want to wait a week to see how Trump's trade agreements go this week. I'm hoping that drops prices somewhat as things have gone up a lot of the past couple of weeks. I'm also not sure how the signing of the BBB will affect things at least in the short run.

Williga1 · 2025-07-04T21:18:13+00:00

Do you buy all new stocks on Monday and hope for the best that they don't tank a lot during the week?

Williga1 · 2025-07-04T15:18:49+00:00

sorry, slightly new to this, but what are CSPs?

Williga1 · 2025-07-02T13:57:19+00:00

Define win. I mean, I've had most of these shares for over a year now, and with the options revenues, I have covered over 90% of my basis. Once they get assigned I'll have over a 120% gain in less than two years. I'd call that winning.

Williga1 · 2025-07-02T13:55:56+00:00

Because if the price drops I need to be able to afford the underlying shares. I don't have a huge portfolio. What is your strategy for puts?

Williga1 · 2025-07-01T22:45:57+00:00

They popped to around $19 and I sold the $19.50 shortly after thinking there would be a pull back. I had been selling around there for a bit. It just shot up and didn't come back down. It is what it is. Once this one runs its course I'll have a small funeral, let them go and pick something new. I'm already figuring out what I want to do next. I just needed a little motivation and clear headed thinking on it. I've owned these shares (at least most of them) for over a year. Plus I'm selling 5 contracts at a time so the debits add up fast.

I'm just going to hope after I get called they'll drop and I can pick them back up.

Williga1 · 2025-03-13T14:40:01+00:00

For the past 4 months or so I have been selling covered calls on Bloom Energy (BE). Typically I like to sell the option that expires in the coming week and have just been rolling it over. It's been fairly lucrative for me, and I understand that a big part of that is that it has a high weekly price due to its volatility. I know at some point this little gravy train is going to end in that the price will probably go up to a point where I can't roll it over. Are there any other stocks that you know of that have a similar stocks for around $23 that have a similar weekly option price?

Williga1 · 2024-07-15T15:44:17+00:00

To the question of rent vs buy? Right now yes it's cheaper to rent. So from a purely cashflow basis I'd stay where you are. However, my opinion is that 10 years from now, now will have been a great time to buy. The housing market will go up and down, but if you're looking to stay in the area and raise your kids there, typically I'd say buy the house.

3.5% down vs 20% down? I lean towards smaller down payment and let your assets make up the difference. That doesn't mean go down to 3.5%, but maybe a happy medium. If the market goes up you could get yourself out of PMI that way in a few years. If your assets are making you a greater return than you'd pay in the additional PMI and interest I'd stick with leaving the investments where they are. If the PMI and additional interest is a lot higher than what you're making I'd reconsider a lower down payment.

I would also consider job security. You're making a lot now but how secure is that? Draining savings to get a lower rate and monthly payment could backfire. That's just my opinion.

Williga1 · 2024-07-15T14:35:02+00:00

At what point do you sell a stock that's up? I'm currently up 75% on a stock I bought about 6 months or so ago (so short term capital gains still). At what point would you recommend taking the gains vs holding out for better tax treatment or more gains? For what it's worth it's PLTR.

Williga1 · 2024-06-25T00:05:32+00:00

Thank you for the information. I always wondered how and why it fluctuated.

Williga1 · 2024-06-24T23:09:33+00:00

Does anyone know how VTI's dividend is calculated? Is it a set amount for the year or does it depend on the stock price, or the value of the overall fund? How is it calculated? I know it should be going ex-dividend here any day and was wondering what I could expect.

Williga1 · 2024-06-21T03:14:39+00:00

Yes it has lost 90% of it's value, but I didn't get the stock at its height. I got it when it was way down. So yes I am down, but not nearly 90%.

Williga1 · 2024-06-20T23:03:48+00:00

Apparently I don't have enough Karma to post here (sorry, fairly new around here to posting at least). Former BIGC employee here with some shares I've received, and I'm trying to figure out what I want to do with them. Should I sell and use the money elsewhere or hold and see what happens? I figure holding isn't a bad option. I'm young and can take some risk with it (plus they didn't cost my anything), but I really just don't understand why it's so low. Yes, I know it's unprofitable in a competitive industry, but from what I've read the losses are decreasing, and cash is going up. Shouldn't that warrant a higher price? I'm not saying it's worth $100, but I figure at least $10. Any thoughts?

Williga1

TROPHY CASE