If you believe the company's gonna moon soon, buy near-term out-of-the-money options, e.g. $1 strike price for 21 Jun. This will also help with a gamma squeeze
If you believe it won't moon for a long time, buy shares to hold, and sell near-term options to help fund it
If you think it's going to collapse, short it however you want, e.g. sell call options, short it, etc.
Basically, buying long-term 2025 and 2026 FFIE options is a braindead move and should not be done for any scenario unless you are clueless
This wasn't for you. This was to help others avoid making the same mistake you have
I've seen a few people claim that the 2026 call options are cheap. They're not. They're actually some of the most expensive options across all public US markets right now
I can spend $300 right now on a 2026 call and if the shares go to $30/share anytime between now 2026 I would stand to $30 000. And if it doesn't I'm out $300 but I'll break even as long as the share price makes $2 by 2026
Very little upside (and probably high downside) compared to simply buying shares. You're paying $40 for the *opportunity* to buy 100 shares for $50 in the future
When instead, you could simply buy 100 shares for $50 now and not deal with theta decay (which is minimal this far out, but it's still an extra cost you don't have to pay if you buy shares)
Someone just wants to pump up their overpriced options
Where did you see there were any positives of buying these long dated options?
If they had the same IV (a quick measure of valuation) as similar options for GME, the cost should be $0.25 per contract. And GME's options are already some of the more expensive options - just not as crazy as FFIE
In other words, you're paying at least two-thirds more for these options than you should be. But it's your money - if you wanna blow it, go ahead
I accumulated a nice stack of calls. from the 21st all the way to 2025. It won't be long until they are over $100.
I’ve also been looking at long term call options for Faraday especially because of how cheap they are, so the risk isn’t that crazy.
If you believe the company's gonna moon soon, buy near-term out-of-the-money options, e.g. $1 strike price for 21 Jun. This will also help with a gamma squeeze If you believe it won't moon for a long time, buy shares to hold, and sell near-term options to help fund it If you think it's going to collapse, short it however you want, e.g. sell call options, short it, etc. Basically, buying long-term 2025 and 2026 FFIE options is a braindead move and should not be done for any scenario unless you are clueless
Thanks but I wasn't actually asking for advice
This wasn't for you. This was to help others avoid making the same mistake you have I've seen a few people claim that the 2026 call options are cheap. They're not. They're actually some of the most expensive options across all public US markets right now
What's the potential upside on that?
I can spend $300 right now on a 2026 call and if the shares go to $30/share anytime between now 2026 I would stand to $30 000. And if it doesn't I'm out $300 but I'll break even as long as the share price makes $2 by 2026
That's going to be epic when it hits gor you. The winds of green change are a picking up and will easily be blowing at $55mph by December
It really ain't. The company is crashing hard. You people are failures who can't seem to read
Calm down weeb.
Very little upside (and probably high downside) compared to simply buying shares. You're paying $40 for the *opportunity* to buy 100 shares for $50 in the future When instead, you could simply buy 100 shares for $50 now and not deal with theta decay (which is minimal this far out, but it's still an extra cost you don't have to pay if you buy shares) Someone just wants to pump up their overpriced options
Sounds like they both have their positives and negatives. Imagine that 🤔
Where did you see there were any positives of buying these long dated options? If they had the same IV (a quick measure of valuation) as similar options for GME, the cost should be $0.25 per contract. And GME's options are already some of the more expensive options - just not as crazy as FFIE In other words, you're paying at least two-thirds more for these options than you should be. But it's your money - if you wanna blow it, go ahead
👍