SNPR - LONG near NAV and here is how
Updated
NOT FINANCIAL ADVICE
I may wait to purchase depending on market open and the ES premarket performance. If it opens up considerably I may pass all together on the opportunity.
SNPRU
BUY 500 units for 11.50 and apply
for split with transfer agent.
($5,750/500=$11.50 per unit)
SNPRW
500 units came with 0.25 of one warrant each,
which amounts to 125 warrants to sell instantly
to remove some risk and take the entry from
$11.50 per unit to $10.75 per share if all 125
warrants are sold at $3.00(conservative calculation)
SNPR
Hold 500 shares and sell call options at the
shortest expiration possible to continue
reducing entry price, eventually under the
trust value and then simply for the
purpose of generating income.
The chart is laid out from top to bottom, top=step 1/enter units for a discount on share price, middle=step 2/sell warrants for rebate & reduce entry, and bottom =step 3/further reduce entry & gen small income from covered calls.
I'll come back to this and post total P&L from the run when I move on to the next trade. Aiming to run this until merger takes place unless price is over entry, then I will continue to sell calls until i eventually get forced into profit. According to the recent filings, the merger will be voted on by shareholders sometime in the second quarter of 2021.
I may wait to purchase depending on market open and the ES premarket performance. If it opens up considerably I may pass all together on the opportunity.
SNPRU
BUY 500 units for 11.50 and apply
for split with transfer agent.
($5,750/500=$11.50 per unit)
SNPRW
500 units came with 0.25 of one warrant each,
which amounts to 125 warrants to sell instantly
to remove some risk and take the entry from
$11.50 per unit to $10.75 per share if all 125
warrants are sold at $3.00(conservative calculation)
SNPR
Hold 500 shares and sell call options at the
shortest expiration possible to continue
reducing entry price, eventually under the
trust value and then simply for the
purpose of generating income.
The chart is laid out from top to bottom, top=step 1/enter units for a discount on share price, middle=step 2/sell warrants for rebate & reduce entry, and bottom =step 3/further reduce entry & gen small income from covered calls.
I'll come back to this and post total P&L from the run when I move on to the next trade. Aiming to run this until merger takes place unless price is over entry, then I will continue to sell calls until i eventually get forced into profit. According to the recent filings, the merger will be voted on by shareholders sometime in the second quarter of 2021.
Note
NOT FINANCIAL ADVICEWaiting past market open proved to provide a better entry. Class A market went from a pre-holiday close @ $10.89 to nearly $11.50 in the intraday, while later hanging out in the 10.5xs until close. The market bounced as expected at the opening today and ended up closing for a modest gain, from yesterday's close.
OBVIOUS BIAS DISCLOSURE
Long @ $10.686 which is almost a full percent lower in possible risk, without having to wait on a transfer agent to split the unit, also without having to sell any warrants. Now, this venture can move straight to writing covered calls, post settlement which is the trade or transaction day plus 2 following business days (T+2).
Note
NOT FINANCIAL ADVICENow we wait. After writing some $12.5 December calls, the cost basis adjusted for call premiums is $10.017. If shares get called, the contracts will produce around 25% return over adjusted cost basis, via call contract proceeds. If the shares don't get called, more calls will be sold in their place but likely on a weekly basis by that point (hopefully post-merger as the current filing shows Q321 merger target).
Note
"Please visit vimeo.com/showcase/voltainvestorday, password: VoltaInvestorDay" from the most recent filing, in reference to an event that is related to the company holding an analyst day on the 17th of June.
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