As you may recall I purchased 75 SuperValu (SVU) Jan 2013 $15 LEAPS back in December. The contract price back then was $.50, so including commissions my cash outlay was $3,810. Back when I purchased these LEAPS SVU stock was trading around $8.60.
Earlier this morning SVU released earnings and they were absolutely horrendous, in fact as I type the stock is down about 13% to $7.50. HOWEVER, I was actually able to sell my contracts for $.70 today, which after commissions came to $5,195!!
So, just to recap, in the past month SVU's stock has fallen about 15% while the LEAPS have gone up 36%... did I mention options are weird?
