Week 12/26 In Review (Wells Fargo)

There were no new purchases or sales during the week. KDK Options plans to keep the current holding. Some metrics are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
WFC	Feb $57.50 Call Option	$0.34	$0.40	$55.28	2/20/2015	Current Holding

 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 12/19 In Review

There were no purchases or sales last week. The Apple $130 December call option expired worthless. The next scheduled purchase will be in 4-6 weeks. Some metrics of the current holdings are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
WFC	Feb $57.50 Call Option	$0.34	$0.42	$54.45	2/20/2015	Current Holding

  If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 12/12 In Review (Apple, Wells Fargo)

There was a purchase of a Wells Fargo call option (story link here). There were no sales this week. The Apple call option that is currently held will probably expire worthless next week. The next purchase is expected in the next 6-8 weeks. Some metrics of the current holdings are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.05	$115.00	12/19/2014	Current Holding
WFC	Feb $57.50 Call Option	$0.34	$0.40	$53.88	2/20/2015	Current Holding

Some Notes

- The Apple option trade is likely to expire worthless. Analysis will be provided on the trade next week.

- The option price on the Wells Fargo trade went up even though the stock went down this week. That is generally a bullish sign.

 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

New Call Option Trade in Wells Fargo

KDK Options has purchased February $57.50 call options. The price paid for the trade was $0.34. The current price of the stock is $54.35ish. The target price for the option is $1.50. Some of the reasons for the option purchase are below.

- continued bullish trend in stock
- economic activity is positive
- PE ration in the middle of the pack in relation to peers
- bollinger bands getting tighter and ready to spring
- Option is the second largest option volume wise


 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 12/5 In Review (Apple)

There were no purchases or sales this week. It looks like the current trade will expire worthless, which was a possible scenario when the trade was made. Metrics for the current holding are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.05	$115.00	12/19/2014	Current Holding

 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 11/28 In Review (Apple)

There were no new purchases or sales this week. The current holdings will be kept. The next scheduled purchase will be in the next 2-5 weeks. Some metrics of the current holdings are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.25	$119.00	12/19/2014	Current Holding

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 11/21 In Review

There were no new purchases or sales this week. The current holding (Apple) will continue to be held. Some metrics are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.20	$117.00	12/19/2014	Current Holding

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 11/14 In Review (Apple)

There were no new purchases or sales this week. KDK Options will continue to hold onto its current holding. Some metrics of the current holding is below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.12	$114.00	12/19/2014	Current Holding

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 11/7 In Review (Apple)

There were no new purchases or sales this week. KDK Options will continue to hold onto its current holdings. Some of the metrics of the current holdings are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.05	$109.00	12/19/2014	Current Holding

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Apple's Pending Euro Bond Issue

Per multiple news reports (Bloomberg story link here), Apple is looking to issue Euro based debt. Some thoughts on this are below:

- There is the thought that this debt will be used to buy back shares. This gives some credence to the idea that Apple feels that its stock is undervalued, even at these all time high prices.

- A dividend increase would also not be surprising.  It also gives credence to higher stock price.

- As this information was not in the last conference call, some analysts will be forced to adjust their guidance to their clients. The guess is that guidance will be raised.

All of this generally will have a positive effect on the stock price. Add product sales numbers to the mix and the probability of a higher stock price is near certainty. It is becoming quite clear that Apple is in a sweet spot right now. Their financial engineers are clearly on the same page as their product engineers. Their management has everyone on the same page.

Disclosure - KDK Options owns a December $130 call

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 10/31 In Review (Apple)

There were no new purchases or sales this week. KDK Options will continue to hold onto its Apple Call Option. The next scheduled purchase will happen in the next 4-6 weeks. Some metrics of the Apple trade are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.05	$108.00	12/19/2014	Current Holding

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 10/24 In Review

There were no purchases or sales this week. The Apple Dec $130 call options are still being held. Metrics of the current holdings are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date	Option Sell Price
AAPL	Dec $130 Call Option	$0.14	$0.05	$105.00	12/19/2014	Current Holding

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

How Does Apple Value Its Stock

Apple is currently at all time highs. Today the stock price closed above $104 for the first time. But Apple is also in the midst of buying back stock. So there is a big question sitting out there. Valuation wise, how much of a discount does the stock need to be from their own valuation for Apple to buyback shares?

Normally, companies will buyback shares because they will find that the cash on hand will have a higher rate of return with this action than others like a dividend or acquisition. So there are not too many companies that will have stock buyback programs going on at a time when its stock is at all time highs.

Which begs the question, at what price does Apple value its stock at? Is there knowledge of a return percentage that Apple likes to make on its cash through stock buybacks? Finding this answer to the second question should give a the investor a good idea as to what the company thinks the stock price should be. 

The buybacks continue. The pipeline is full of great products in expanding markets. The dividend was raised in the last year. 

Disclosure - KDK Options owns a Dec $130 call 

  If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Apple's Earnings

Yesterday, Apple released their July to September quarter earnings. They beat on both the top line (revenue) and the bottom line (earnings). The company is very excited for the future with the release of the new products (iphones, ipads, macs) and services (Apple Pay). they raised guidance on both revenue and earnings for the October to December quarter.  The Apple press release can be found here.

Revenue for the quarter ended up at over $42 billion dollars. That is much higher than the analyst estimate of $39 billion dollars. Earnings for the quarter ended up at $1.42 per share. The analyst estimate was for Apple to earn $1.30 per share. This was  a home run for Tim Cook and company. Future revenue has been revised upward to between $63.5 billion and 65.5 billion. Earnings per share for the current quarter are projected to be around $2.40 per share.

Apple saw a 20% increase in sales of the iphone. That was offset a bit by a 6% drop in ipad sales. There will be a major spike in sales this quarter as Apple promotes the iPhone 6, new ipads, and opens its product lineup to over 100 more countries.

Apple is embarking on influencing new markets and products. With the release of Apple Pay, the iphone 6 and 6+, new ipads, macs, and the coming sales of the Apple Watch, they are geared towards 
 a high level of profitability and success. There is a feeling that analysts that haven't already raised share price targets will do so soon. Cantor Fitzgerald already has a $143 target price. For this reason,
 KDK Options will continue to hold its call option.

 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **



- Guidance
     - Revenue and EPS
     - # of products expected to be sold

Overall
- New products
- New service (Apple Pay)

Week 10/17 In Review

There were no new purchases or sales this week. KDK Options currently hold an Apple December $130.00 call option. The trade will continue as earnings are released on 10/20. Information on the current holdings is below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date
AAPL	Dec $130 Call Option	$0.14	$0.07	$98.00	12/19/2014

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

New Purchase in Apple Calls

KDK Options has made a trade buying December Apple $130 call options. The expectation is that the option will reach $2.50 before expiration.  The current price of Apple's stock is about $101. Some of the reasons of the trade are below:

- Apple earnings coming out next week
- Continued revenue growth
- Rotation to safer stocks
- Breakout past $100


 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

XLF Trade ends in Expiration

The XLF $23.50 call option trade, ending on October 3, has expired worthless. KDK Options is looking into what the next trade will be. The next trade is expected after the next 2-3 weeks.

 If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 9/26 In Review ($XLF, more)

There were no new purchases or sales this week. Some metrics of the current holdings are below. It does look like the option will expire worthless at the end of the week.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date
ETF XLF	Oct 3 $23.50 Call	$0.25	$0.02	$23.22	10/3/2014

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **

Week 9/19 In Review (XLF)

XLF ended the week at $23.65. This puts the call option in the money by $0.15. It is at new 52 week high. The goal remains the same to see XLF get to $24.30, which is its R2 from when the trade started. The plan is to continue to hold onto the option.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date
ETF XLF	Oct 3 $23.50 Call	$0.25	$0.18	$23.65	10/3/2014

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

Week In Review (XLF)

XLF ended the week priced at $23.39. The Oct 3 call option closed the week at $0.16. That is a decline of $0.09 since the purchase of the call. The plan is to continue holding the option. Some metrics of the option are below.

Security	Option	Option Purchase Price	Current Option Price	Current Security Price	Option End Date
ETF XLF	Oct 3 $23.50 Call	$0.25	$0.16	$23.39	10/3/2014

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

Week In Review (9/5) Financial ETF XLF, more

KDK Options purchased call options in financial ETF XLF. There were no sales this week. Some metrics of the current options holdings are below:

Security	Option	Option Purchase Price	Current Security Price	Option End Date	Option Sell Price
ETF XLF	Oct 3 $23.50 Call	$0.25	$23.46	10/3/2014

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

For non option trades, take a look at what KDK Fund is currently doing (link here). 
** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

New Trade in Financial ETF XLF

KDK Options has purchased an XLF $23.50 call option that ends on Oct 3. The cost of the trade was $0.25 per contract. The goal of the trade is to see the value reach $1.00. The current price of the ETF is $23.45. Reasons for the trade are below:

- The financial sector looks to be starting a bull run

- The underlying US economy looks to be moving forward

- Economic numbers will be coming out in the interim possibly pushing stocks higher.

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

Week In Review (USO, JP Morgan, more)

This week there was a purchase of  JP Morgan August $60.00 call options. The post for the purchase is here. There were no sales this week.

USO - The July $40.00 call is still being held. It is still out of the money. The action in Iraq as well as 2nd quarter GDP numbers continue to put upward pressure on the price of the ETF. The expectation is for the USO to reach $41.00. The goal of the option is being brought down to $1.00.

JPM - The August $60.00 call is still being held. It is still out of the money. The stock keeps pushing up against resistance at the $58.00 level. We believe that earnings will carry the stock price into the $61-$62 range.

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

KDK Options Purchases JPM August Calls

KDK Options has purchased call options for JP Morgan. The August (first week) $60.00 call options were purchased for $0.27. The goal of the trade is $2.50. The stock is currently trading at $57.73. The reasons for the trade include:

- An upward pressure on the stock technically

- Improving economic conditions in the US

- Earnings season coming within the time frame

- Financial Industry looking to experience growth

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

Week In Review ($USO, more)

There were no purchases or sales this week. The financial industry is looking good for a possible call purchase through XLF ETF or one of the banks.

USO

KDK Options is continuing to hold its July $40.00 call options. Currently, the price of USO is $39.10. The continuing crisis in Iraq is giving some support to the price. The economy is also moving forward having some effect on supplies. If refineries in Iraq are taken off line, the likelihood of a spike in oil prices is high.

If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. ** 

New Trade in Twitter!

An option trade in Twitter has been made. KDK Options has purchased the July $39.00 call options for $0.50. Reasons for the trade are below. The stock is currently trading at around $33.50. The goal price of the options will be $5.00.

- Both fundamental and technical research suggests a high probability that the stock price will move towards $45.00.

- A Fibonacci retracement from the recent downtrend suggests that a 38% retracement could move the stock past $45.00.

- Growing usage by all industries suggests a high level of media coverage.

- Possible build up for stock into earnings call; which is the scheduled for a week after the option expires.

- Stock has hit $30.00 twice and came off that level both times, suggesting a possible bottom.

Don't forget to check out the rest of the blog to see how other trades panned out.


If you would like to contact KDK Options, you can leave a comment, email at kdkoptions@gmail.com, twitter @kdkoptions, or find us on Stocktwits @kdkoptions. 

** This blog is used for informational purposes only. It should not be used as a recommendation to buy or sell any security. Do your own due diligence before trading or investing. **