Stock options and taxes? (first time dabbler)

[kv968]

Originally Posted by Nika

I don't know. If the stock goes high right before the announcement (like above 435) I might sell like 30 shares.

And hold the other 35-40 shares until after the announcement (otherwise, there was no point in exercising).

I need to sell at min $429 a share to make equal amount of money to what I could have made if I exercised. So anything above that, would be a gain, anything below, a loss.

Besides something like $10-$20 fee I'll pay each time I want to sell stock. (but if I only cell in 1 or 2 batches, I think I can ignore this until it is time for final calculations.

So the main question is, do you believe AAPL will go above $429 either before or after the announcement?

I don't think it'll go much above $425-426, if that, before the announcement. Afterwards, it's a crap shoot. The expected earnings are high but I think the "shadow number" some investors are looking for is even higher so if they don't really impress it might be in trouble. On the bright side, the bulk of the new iPhone sales will be in this earnings report but that's also what's driving the earnings expectations higher. It'll be interesting...Good luck.

[Nika]

YEEEEEEEEEEEEEEES!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!!!!!

[jpg7n16]

Originally Posted by Nika

YEEEEEEEEEEEEEEES!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!!!!!

I def thought of you today when I heard the Apple announcement

[fe2o3ez]

Me too. I was reading this thread yesterday afternoon, and listened to the recap of the announcements on my way home last night. How nervous (then excited) were you?!

Welcome to the world of options!

[Nika]

I was really excited yesterday, dancing around.
However, we did not do as well selling it today -- we did not manage to sell at the maximum.

I thought it would go as high as it did in pre-trading and missed the first few minutes of the high. Did not know it would go that much lower.

So at the end we sold at $447. Still, we made $18 more per share than if we had sold the option.

I guess with $403 for cost basis I should still be very happy. But I am just happy.