New Play SNDK, DELL & CRDN

SNDK (Earnings Play on 20 Apr ATC)

Read the news (below) from Briefing.com today. Based on experience, as the stock had been going up abt $14 since abt 4 weeks ago. the market would not accept in-line earnings results positively. Played Bear Call credit spread Apr $65/70 Put (slightly in-the-money) for $1.80. I reckon that if this play is against me, my loss would be fairly limited and the sold leg time value of $2.41 would be almost wiped out by tommorrow (expiration Friday). If this play is on my side, I would probably keep most, if not all of the $1.80. After market closed today, the stock stayed around $62.10 (hopefully, it stays that way tommorrow).

14:24
SNDK SanDisk: earnings preview (65.29 +1.52) -Update-
SNDK is scheduled to report Q1 earnings today after the close with analysts expecting EPS of $0.45 on revs of $623 mln... C.E Unterberg anticipates that the co will report revs essentially in-line with the Street consensus of $627 mln, with higher megabyte shipments offsetting an aggressive period for retail price drops. However, the firm says G.M pressure may make Street consensus EPS of $0.45 more challenging to meet. Maintain MP view on stock during challenging NAND mkt period. They expect that total megabyte shipments in Q1 will exceed co's guidance for flat to up 10% sequentially, due to strong retail sales data and continued increases in the average density per card... Amtech is looking for EPS of $0.47 with revs of $622 mln. Their product rev calls for $540 mln and $82 mln in royalties. They are above the street for Q2, modeling EPS of $0.60 with revs of $785 mln vs. consensus EPS of $0.51 with revs of $683 mln. They are expecting a seasonally strong quarter following aggressive price cuts in Q1 with 30-50% bit growth. On the gross margin front, the firm says it should start improving with 300mm/70nm/MLC production and less severe pricing declines of approx 10-15% in Q2. Click here for technical levels of interest.

DELL (bearish)
DELL broke its 52-week low today. I have been bearish on DELL for sometime now. Its margin had been dropping and it is facing increased competition from Lenovo. Bought May $27.50 Put.
Target = $23.26
Stop Loss (Tight) = above $$28.60

CRDN (day trade)
Been monitoring this stock. Initially bgt the Jun 55 Put for swing play. But the paper profit is too good to lose (at its peak, it was $110). As the stock reversed back pretty fast, I lock-in my profits for $70. Tried to buy back the June Put but it was not filled. Will probably play this stock again tommorrow.


UPDATES

AAPL
My AAPL Bull Put spread did very well. Closed my sold leg of Apr $65 Put for $0.05 when the stock reversed south (play safe). My May $70 Call is still slightly negative. Have to check the market sentiment tommorrow and decide whether to keep playing this stock.

XSNX, AMD & PALM - uneventful.


- PersianCat04 (Millionaire-in-progress)