Something fishy going on with GOOG?

Discussion in 'Stocks' started by peilthetraveler, Nov 6, 2006.

  1. Today someone bought a few GOOG 240 dec puts. When i say a few, i mean 27,000 of them. Someone told me that there was 8000 purchased of those last week too. I understand doing a little gambiling here and there, but this just seems like someone is either throwing away money, or knows something major is going to happen soon.

    There seems to be alot of heavy put buying for December in fact. 300+ trades for 260, 300+ for 270, 300+ for 280, all the way up, heavier than usual put buying. But of course the big one was the 27,000 puts bought. Has anyone heard any rumors, Is goog about to take a shot to the head? Maybe some financial accounting scandel that maybe they dont really have all that cash they say they do? Insiders have sold off 4 billion worth of stock this year. Are they cashing out before the crash?
     
  2. jllm03

    jllm03

    After a 160 point increase this year, most of it the last 30 days... I would be selling.
    Buying some DEEP OTM Puts would be a nice lottery ticket.
    I would not take too big of a correction for these puts to increase substantially in value.
     
  3. You think the insiders are stupid for selling stock?
     
  4. I own puts myself, so i want them to sell and push the price down. My puts are are only slightly out of the money right now. I would love to see GOOG hit 420 by mid december. But if it went to 240. Look out. That would be a x-mas present to remember.
     
  5. Maverick74

    Maverick74

    How do you know they did not buy the Dec 240 synthetic call? Think......
     
  6. Sorry..im not an option expert so im not sure what you are getting at. I just read a little bit about synthetics but i dont understand why someone would do this so far out of the money. Could you explain it?
     
  7. Mvic

    Mvic

    OI is only about 8K so maybe it was the closing out of an old position or a fat finger mistake meant to buy 100 and bought then sold 10000.
     
  8. Maybe those are Put Credit spreads?
     
  9. may be someone just mixed 240 and 420 ;)

    it's really easy if you type fast ...

     
  10. Search engine at $476. It just does not feel or look right. We will not know when thing of this nature end, but they always do.
     
    #10     Nov 7, 2006