surgcapital
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$85.00K
Nov 12
BOUGHT $SMCI $10.2K 12/18/2026 Calls
A contrarian play to say the least. $21 Strike Price
Calls expire December 2026, limiting time decay risk
I do think this company can turn it around eventually. Their servers are in high demand and its valuation is absolute eye-candy in the tech space.
The stock has cratered 2 standard deviation from the top with further downside risk somewhat limited through historical probabilities (of all companies that experience a 2 sigma drawdown). I’m fine with the price I’m tagging in at.
While there are a lot of short-term uncertainties regarding the company’s governance and validity of its filings moving forward, I’m taking a long-term approach on this based on the value that I’m getting.
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1495 views
Comments (7)
Nov 12
I heard the earnings call last week and it was a total disaster, but this could be a wise move: either you become rich or lose 10.2k. Good luck 🍀
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Nov 12
A lot of recent insider buys from this company. Alignment of interest is a good sign for this beleaguered company
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Nov 12
How do you view the fraud allegations?
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Nov 13
If it doesn’t go to zero or get delisted, youll have a nice trade on your hands. But if things do go south, you’ve burned 10k.
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Nov 14
This company may get delisted (repeat offender) and that will make this option non tradeable till they get relisted , it's a super risky bet imo.
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Nov 14
If they don’t have 10k by 11/16 or at least a plan to produce a 10k - they will be delisted in short order. Options are worthless at that point and stock liquidity will dry up. Last time they were delisted it took 2 years before they came back.