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Folks, for the option enthusiasts, I direct your attention to the June 17.50 call options which are currently at .85 cents. If you want to begin accumulating shares but still fear downside, write/sell open those calls... The options' intrinsic value is very juicy considering that it's deep in the money type calls. If you buy the underlying shares at the current price of 17.97 and simultaneously sell those calls, you have a .46 cent downside protection in a hugely oversold/undervalued/cheap stock! Suppose INTC finishes above 17.50 by June expiration (3rd week of the money), you'll pocket .38 per call. That ain't a discouraging return in little over 3 week's time!? Let's assume INTC closes under 17.50 by expiration, you pocket the entire premium and keep your underlying shares... And at the time, depending on the technical's strength, you can either decide to roll the June options into the July or simply not hedge your shares with calls at all.
In sum, the stock is severely cheap, and the above strategy provides with a hedge (protection) while earning premium at the very least.
In sum, the stock is severely cheap, and the above strategy provides with a hedge (protection) while earning premium at the very least.
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