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17/01/18
20:41
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Originally posted by search111
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That was me buying at 4 cents. And if the value of the option is exactly the same as the stock it is trading at intrinsic value as we say when we know what we are talking about in terms of options pricing.
You are correct that I bought the option as it is more liquid than the stock. Sorry to burst your bubble but given the mess Patterson's have made of backing this stock (who would have thought? They are shite) the stock is not going anywhere until after options expiry. They gave stock to everyone who could not afford to exercise at expiry so they either have to sell the stock to fund the option exercise or sell the option and keep the stock. It's a market structure thing that happens quite often.
I already am a top 20 holder and the story is great. In a way the options overhang has allowed you to buy in at a price that does not reflect the last 12 months of development.
Even if the stock trades below exercise price I will exercise as with this puppy liquidity is key and as you saw when some Muppet bid up the stock 30%0to buy it and the same Muppet crushed the stock 10% to sell it. Building a position in this thing is difficult.
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Let's see what the next 2 months have in store. Should be plenty of news flow. I'd like to see Woodleys East resource grow towards 100k oz+ and some nice hits on the Clyde and/or Miners shears.