With the news that the government is selling a large portion of its stake in General Motors (GM) back to the company at a price above the close yesterday, both GM and Ford opened higher this morning. Ford has now traded back to almost flat at this point (10:20 am EST). With the run higher […]
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Stock, or equity, warrants provide a trader or investor the opportunity to use leverage to trade or invest in the fortunes of the underlying company. To often I’ve seen a comparison of two alternative investment vehicles, buying the common stock or buying the warrants. The story always goes the same, if the stock is trading […]
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Ford stock is acting according to pattern at this point in the warrant expiration cycle. The stock came under slight pressure last week (both 12/13 and 12/14) with increased volume. If Ford follows a normal expiration pattern it should remain relatively flat to down as we head into the last day of trading for the […]
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The value of a stock warrant can be based on many things, but the starting point for any valuation is the warrant terms. The warrant terms should be used to define a ballpark valuation, but the final valuation of a warrant should be based on much more than simply the terms. While a common stock […]
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