GRPN puts expensive!!

Discussion in 'Options' started by noob_trad3r, Feb 8, 2012.

  1. wanted to buy feb 12 OTM puts as a earnings disappointment play but they are EXPENSIVE!!

    200+% IV on puts with 3 days of life.
     
  2. oh ya i'm sure the IV is astronomical. There's your price hike (which you know of course since you pointed it out) but I guess about what you could expect on a stock like GRPN at the moment.
     
  3. Earnings plays with long options are really tough when IV has expandaed. 200+ % is a sucker's play :)

    AFAIK, volatility plays would make more sense if one was inclined to roll that die.