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Pelosi Buys Palo Alto Networks Stock

Posted on 2/27/24 at 8:34 am
Posted by StonewallJack
Member since Apr 2008
696 posts
Posted on 2/27/24 at 8:34 am
She bought some calls!

Everyone jump on the band wagon!

Investing.Com Article
Posted by slackster
Houston
Member since Mar 2009
85109 posts
Posted on 2/27/24 at 8:36 am to
He/she got their arse burned then. Palo is down nearly 20% from the call purchase date.
Posted by TDTOM
Member since Jan 2021
14749 posts
Posted on 2/27/24 at 8:47 am to
We saw that yesterday and couldn't make any sense of it.
This post was edited on 2/27/24 at 8:50 am
Posted by StonewallJack
Member since Apr 2008
696 posts
Posted on 2/27/24 at 8:51 am to
She knows something that we do not....
Posted by Man4others
Member since Aug 2017
2062 posts
Posted on 2/27/24 at 8:59 am to
She bought the day of the 20% drop.
Posted by Lake08
Member since Jun 2023
568 posts
Posted on 2/27/24 at 9:39 am to
Strike price/expiration????
Posted by DarthRebel
Tier Five is Alive
Member since Feb 2013
21288 posts
Posted on 2/27/24 at 9:41 am to
The Pelosi portfolio does not lose. Insider information is they way.
Posted by Bard
Definitely NOT an admin
Member since Oct 2008
51786 posts
Posted on 2/27/24 at 9:50 am to
quote:

The Pelosi portfolio does not lose. Insider information is they way.


NANC stonks.
Posted by BCreed1
Alabama
Member since Jan 2024
1258 posts
Posted on 2/27/24 at 9:51 am to
quote:

He/she got their arse burned then. Palo is down nearly 20% from the call purchase date.





No she didn't.

quote:

The investment was made on February 12.

Pelosi also revealed acquiring a call option valued between $100,000 and $250,000. This investment was made on February 21


She's made alot on it based on current price and last purchase.

These calls are also out in Jan 2025.


BTW, I purchased on the drop off too.



Posted by TDTOM
Member since Jan 2021
14749 posts
Posted on 2/27/24 at 9:54 am to
$200/ Jan. 17 2025

Pretty sure her total investment was $1.25M. So I would guess she bought at $125.

This post was edited on 2/27/24 at 9:59 am
Posted by frogtown
Member since Aug 2017
5054 posts
Posted on 2/27/24 at 10:02 am to
quote:

She's made alot on it based on current price and last purchase.


No she hasn't. As of today 2/27 she is underwater on this trade.
Posted by DarthRebel
Tier Five is Alive
Member since Feb 2013
21288 posts
Posted on 2/27/24 at 10:14 am to
quote:

No she hasn't. As of today 2/27 she is underwater on this trade.


Pelosi is not Gumbo Gary day trading , she will net a nice profit.
Posted by MadtownTiger
Texas
Member since Sep 2010
4208 posts
Posted on 2/27/24 at 10:21 am to
She bought I believe 10-20% more off the earnings call...main reason for the earnings call drop was that a "big" contract had not been signed yet.

They later found out it was a big US Govt Security contract. I bought in yesterday myself.
Posted by SquatchDawg
Cohutta Wilderness
Member since Sep 2012
14255 posts
Posted on 2/27/24 at 10:42 am to
Help me understand this.

If she buys call options on the 21st with a strike at $200, the stock was trading at $260ish…..so wouldn’t she pay a premium because she’s already in the money? If she was playing some long game wouldn’t it make more sense to buy a strike a little higher than the current price?

Obviously I’m not an options trader.

This post was edited on 2/27/24 at 2:19 pm
Posted by slackster
Houston
Member since Mar 2009
85109 posts
Posted on 2/27/24 at 11:09 am to
quote:

She bought the day of the 20% drop.


I read it was 2/12. Earnings drop was 2/20.
Posted by frogtown
Member since Aug 2017
5054 posts
Posted on 2/27/24 at 11:21 am to
quote:

Pelosi is not Gumbo Gary day trading , she will net a nice profit.


We are talking as of today 2/27.
Posted by The Torch
DFW The Dub
Member since Aug 2014
19387 posts
Posted on 2/27/24 at 12:17 pm to
quote:

She knows something that we do not...


This


That crooked bitch ain't risking your money (she stole)
for nothing
Posted by soccerfüt
Location: A Series of Tubes
Member since May 2013
65852 posts
Posted on 2/27/24 at 1:12 pm to
I did a better job on it this time:

Posted by CecilShortsHisPants
One Foty Fo uh uh Magnolia Screet
Member since Oct 2012
2866 posts
Posted on 5/19/24 at 8:30 am to
Earnings tomorrow after the close. ??
Posted by Jag_Warrior
Virginia
Member since May 2015
4125 posts
Posted on 5/19/24 at 3:06 pm to
quote:

Help me understand this.

If she buys call options on the 21st with a strike at $200, the stock was trading at $260ish…..so wouldn’t she pay a premium because she’s already in the money? If she was playing some long game wouldn’t it make more sense to buy a strike a little higher than the current price?

Obviously I’m not an options trader.


It’s a good question.

It depends on the trader’s strategy. The deeper in the money an option is, the more it will trade like the underlying stock (just meaning $ for $ movement). By being deep in the money, as this trade apparently is, the trader has established a sort of synthetic long stock position - only for a significantly smaller amount of capital than if they’d bought the stock. And because U.S. equities trade American style options, the trader can exercise the ITM options at anytime prior to expiration, if they so choose. But typically, traders close the long option position prior to expiration. So basically, you can think of buying a deep ITM call as akin to being long the stock, just for less money. Does that make sense?

As for premium, both in the money and out of the money options will have some amount of premium attached - the amount of premium or option value will be affected by different variables in each case. And without going into a lot of detail, deep in the money options, already being in the money, have more intrinsic value (premium), and less extrinsic. Whereas an out of the money option would have more extrinsic/speculative value (premium) and no meaningful intrinsic value (because it’s not yet in the money). And they’re both going to be affected by implied volatility and the time value (adding to the premium) that the expiration date dictates.

That’s not a complete explanation, but hopefully it’s enough to roughly answer your question, without being overly confusing.
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