That expiring bbby $25 call option for 8/19 will basically expire worthless at $0.50 (pre market not included here. So 100% worthless by open), if bought Thursday. If you bought Wednesday afternoon , it was going for $4.00 almost all day. Many bought at $4.00 expecting another pump. They lost this round.
theres many how to option Robinhood videos out there that lay out the basics. Rh is generally a basic platform so beware. Most tend to trade the contracts and not execute the actual option for those 100 shares. Most tend to gamble on the very near future options, which almost always rely on big news happening around the companies.
A bbby $10 put for next Friday was $0.39 as the market closed Thursday. A lot of people play both sides too. A gamble call here and a gamble put there.
The $10 put has a delta of -0.35. With a $18 loss, we’re looking at an estimated value of now $6.65. That’s $39 invested or gambled to possibly make $665 at market open is enticing. It’s fascinating stuff. Just be careful. Look at the wsb Reddit loss page for a true reality check. For every person selling their $25 bbby contract for $4.00 for a gain before the crash, a real person just bought it for that, as it goes worthless overnight.
ballinsam23
Like I said to another poster a while back though, be very careful with options. It looks like easy money until you've blown up your account because you're chasing the high.
