I concur that IFTWC looks too expensive.quote:Originally posted by QOH
I sold 50% of my B warrants on Friday, was hoping to buy some C's today, looking too expensive for me at this point.
At current prices (IFT 3.27, IFTWB 1.65, IFTWC .70) it appears to me that the C warrants are not just a little bit expensive; they appear to be trading at far above fair value.
Using the Black-Scholes algorithms, I calculate that IFTWB fair value is around 1.55. IFTWB is trading at around a 5% premium.
The same calculation applied to the C warrants shows a fair value for IFTWC of around 0.40. IFTWC at 0.70 is at a 75% premium.
If I had more IFTWC warrants, I'd be selling while the selling's good.
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