Options are a dead giveaway to 'lifestyle companies', no one...

  1. 1,764 Posts.
    lightbulb Created with Sketch. 231
    Options are a dead giveaway to 'lifestyle companies', no one pays too much attention to their issuance so they tend to go under the radar.

    On considering a long term hold one of my 1st stops is analyzing director 'skin in the game', if director holdings are dominated by options over shares, and those options have been issued at a strike of a small premium to spot at time of isssue, red lights start flashing.

    My next stop is director transactions, if directors never or irregularly buy 'on market' but have a history of exercising options on SP blips and selling or partially selling the shares, red lights are more pronounced, again the values are relatively benign so don't draw suspicion, but they do it repeatedly, analysis easy through MI, all info is there.

    As Eck our FA guy suggests, the truth is in what people do not what people say and the above is suggesting the stock in their eyes is an income vehicle therefore all about periodic SP maintenance not an investment vehicle, you would be surprised how many micro caps fall into this category.

    Country & western? Some great C&W around, Chris Stapleton next level, below not a C&W song but he is what he is.

    Boys in the garage not yanks but are men of the perimeter, being a national anthem it's all about the glory in a perimeters robust defence, lads had to have a 'quiet personal moment' after viewing this one especially the hound, Stapleton didn't over sing it (unusual for a US anthem) he just nailed it.

 
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.