See the bearish article on ORCL at
https://finance.yahoo.com/news/don-t-wait-short-oracle-144006980.html
Interesting that the they are recommending a short position after such significant drop.
6 replies (most recent on top)
Stock was up today.
"However you can buy PUT options and only risk the money you paid for the option."
Correct, So the real question is, how much are Oracle PUT options these days? Looking at current PUT prices, it doesn't appear that Mr. Market expects ORCL to drop much more than where it is now.
"The thing about shorting is: if you're wrong you can be completely wiped out.
If you think ORCL has no future, sell and get out. Shorting is gambling."
That's true with a "naked short". However you can buy PUT options and only risk the money you paid for the option. For instance, back on March 28th before the most recent quarterly results were announced, if you bought the Jan 2020 $52.50 PUT option for $6.56/share (technically a long term option like this is called a LEAP) you would have the option to sell the buyer of that option ORCL stock at $52.50/share. Or you could sell the option anytime before that. That particular option is worth about 50% more now but will increase in value if the stock stays low as the expiration date approaches. So it is possible to short a stock without exposing your account to the massive risk of a naked short.
I was laid off a while back (and I'm pretty happy to be gone), sold my ORCL, and I'm making money on the stock's fall. It's all good.
Oracle is dead company walking, the 3 stooges killed the goose that laid the golden eggs. It’s over
The thing about shorting is: if you're wrong you can be completely wiped out.
If you think ORCL has no future, sell and get out. Shorting is gambling.
Doesn't look good for Oracle. The ship is sinking....