???what's it worth competition???, page-6

Hi Smerf ... yes ... Grant is correct ... not enough information.

If it is a Company Option ($0.75 Strike is way 'out-of-the-money') then it could be worth anything as the price is really that which the 'spot market' is paying ... that is, prevailing sentiment ... suggest you look back and compare Option price/Shareprice over time to gauge fair value. Historical Volatility of the Underlying and Implied Volatility of the Option do not necessarily equate with Company Options.

At say 50% Implied Volatility (you say medium volatility) then fair value would be around $0.018.

It isn't ...but if it were an ETO then we can use Option Price Modeling to determine FAIR VALUE but we need to know the Implied Volatility or the Option Price.



Cheers ... tight stops.


This is only my view ... read the red stuff.