For a volatile illiquid stock like GTE, company options make a lot of sense. Your percentage loss is likely to be similar or only slightly more with a retracement, yet profits much higher percentage wise. GTEO traded 10c above intrinsic for ages before the retracement last year.
If I had borrowed money to buy GTE instead of GTEO, it would have cost me $150k for 1 mil GTE rather than 30k for 1 mil GTEO, and at 50c GTE price and 20c GTEO price, worth $500k and $200K respectively, just using intrinsic value there. The stock is a 3.3 bagger, the options 6.3 bagger, twice the leverage for much less risk, as I mentioned, downside percentage much less that upside with many company options.
Closer to expiry of course the risk starts to escalate if you are hovering around the strike price.
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Last
3.4¢ |
Change
0.000(0.00%) |
Mkt cap ! $16.51M |
Open | High | Low | Value | Volume |
3.5¢ | 3.5¢ | 3.3¢ | $42.90K | 1.270M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 14706 | 3.4¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
3.5¢ | 125386 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 14706 | 0.034 |
4 | 882567 | 0.033 |
7 | 2412373 | 0.032 |
1 | 290322 | 0.031 |
3 | 933333 | 0.030 |
Price($) | Vol. | No. |
---|---|---|
0.035 | 125386 | 1 |
0.037 | 223077 | 1 |
0.038 | 200000 | 1 |
0.039 | 15000 | 1 |
0.040 | 240000 | 2 |
Last trade - 14.06pm 08/10/2024 (20 minute delay) ? |
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GTE (ASX) Chart |