FREE MONEY ALERT [5]: ON Semiconductor ($ON)- 40C EXP 4/16
Not usually one for betting on all time highs, but ON provides extremely well priced options despite its current upward trend and momentum.
The biggest thing with ON is institutional ownership. So if you don’t want to take my word for it, take the over ten-billion down that vanguard, fidelity, Blackrock and a number of large brokers collectively have on this company.
I’m a big fan of Hassane, this dude is making some moves to better position the company marginally to capitalize on the majorly emerging EV, Alternative Energy, Aerospace, and 5G markets. With demand currently outweighing supply, semiconductors whether ON or not will be strong investments, and are key to most alternative energy methods, so both markets will grow and evolve in tandem with each other.
ON in comparison to the other semi stocks is much lower priced, and with institutions holding a majority of the float, a large amount of 2023 convertibles, and still increasing their share positions, once a majority of the general public moves to semi’s it will explode similar to PLUG power, which was a near identical situation. Although there may be some convertibles causing a degree of share dilution, with the increases in broader market investment the impact should be fairly small.
Most importantly to all of this the options are cheap as absolute shit. I believe we are going to see a large spike in Theta value by April, making calls now a much better deal then the near future. You can get ATM contracts for $250, meaning it only has to cross 42.5 by April to break even, which is a fucking joke, and what I’d call a great options deal.
Note: I don’t provide sell points, so don’t ask. Every post I’ve made provides the opportunity to make money, it won’t change with ON, don’t be to greedy, and take your free money once it’s there.
Posted Feb 9, 2021, 3:46 AM UTC · edited