2024-05-17 CALL at $20.0 Option on Daqo New Energy
| DQ Stock | USD 18.57 0.19 1.01% |
2024-05-17 CALL at $20.0 is a CALL option contract on Daqo New's common stock with a strick price of 20.0 expiring on 2024-05-17. The contract was last traded on 2024-05-07 at 15:59:57 for $0.33 and, as of today, has 9 days remaining before the expiration. The option is currently trading at a bid price of $0.1, and an ask price of $0.35. The implied volatility as of the 8th of May is 65.46.
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Daqo New Energy. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in producer price index.
Daqo |
Call options on Daqo New give the investor right to buy Daqo Stock at a specified price within a specific period. The strike price represents the predetermined price at which a call buyer can buy Daqo Stock. Call options may be purchased for speculation or sold for income purposes, or simply combined for various spread or combination strategies. If Daqo New's price is above the strike price at expiry, the profit is the current Daqo New's stock price, minus the strike price and the premium.
Rule 16 of 2024-05-17 Option Contract
The options market is anticipating that Daqo New Energy will have an average daily up or down price movement of about 4.09% per day over the life of the option. With Daqo New trading at USD 18.57, that is roughly USD 0.76. If you think that the market is fully understating Daqo New's daily price movement you should consider buying Daqo New Energy options at that current volatility level of 65.46%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
Out Of The Money Call Option on Daqo New
An 'Out of The Money' option on Daqo has a strike price that Daqo Stock has yet to reach, meaning the option has no intrinsic value. 'Out of The Money' options are usually less costly than 'In The Money' options, making them more desirable to traders with smaller amounts of capital. Some of the uses for Daqo New's 'Out of The Money' options include buying the options if you expect a big move in Daqo New's stock. Since 'Out of The Money' options have a lower up-front cost (i.e., no intrinsic value) than 'In The Money' options, buying it is a reasonable choice.
| Call Contract Name | 2024-05-17 CALL at $20.0 |
| Expires On | 2024-05-17 |
| Days Before Expriration | 9 |
| Last Traded On | 2024-05-07 15:59:57 |
| Contract Period | MONTHLY |
| Open Interest | 97 |
| Current Trading Volume | 17.0 |
| Strike Price | 20.0 |
| Last Traded At | 0.33 |
| Current Price Spread | 0.1 | 0.35 |
| Rule 16 Daily Up or Down | USD0.76 |
Daqo short CALL Option Greeks
Daqo New's Option Greeks for the contract ending on 2024-05-17 at a strike price of 20.0 measures the various factors that affect its cost and calculated using a theoretical options pricing model. It helps investors make more informed decisions about whether to trade this option contract or when to trade it. In addition to Daqo New's option greeks, its implied volatility helps estimate the risk of Daqo New stock implied by the prices of the options on Daqo New's stock.
| Delta | 0.2882 | |
| Gamma | 0.177 | |
| Theta | -0.0373 | |
| Vega | 0.0101 | |
| Rho | 0.0013 |
Daqo long CALL Option Payoff at expiration
Buying Daqo New's call option is the simplest of option trades. A call option on Daqo Stock gives investors the right (but not the obligation) to purchase Daqo New at the given strike price. Therefore Daqo New's call intrinsic value or payoff at expiration depends on where the Daqo Stock price is relative to the call option strike price. The strike price of 20.0 is the critical point that divides the payoff function into two parts. Below the strike, the payoff chart is constant and negative (the trade is a loss). Above the strike, the payoff line is upward sloping as the option payoff rises in proportion with Daqo New's price. Finally, at the break-even point of 20.33, the line crosses zero, and trading Daqo becomes profitable.
Profit |
| Daqo New Price At Expiration |
Daqo short CALL Option Payoff at expiration
By selling Daqo New's call option, the investors signals his or her bearish sentiment. A short position in a call option written on Daqo New will generally make money when the underlying price goes down. Therefore Daqo New's call intrinsic value or payoff at expiration depends on where the Daqo Stock price is relative to the call option strike price. The strike price of 20.0 is the critical point that divides the payoff function into two parts. Below the strike, the payoff chart is constant and positive (the seller makes a profit). Above the strike, the payoff line is downward sloping as the option payoff drops in proportion to Daqo New's price. Finally, at the break-even point of 20.33, the line crosses zero, and trading Daqo becomes disadvantageous with no downside limits.
Profit |
| Daqo New Price At Expiration |
Daqo New Energy Available Call Options
Daqo New's option chain is a display of a range of information that helps investors for ways to trade options on Daqo. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for Daqo. It also shows strike prices and maturity days for a Daqo New against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone.
| Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
Call | 2024-05-17 CALL at $15.0 | 0.9763 | 0.0254 | 0 | 2024-05-17 | 2.3 - 5.3 | 0.0 | In |
Call | 2024-05-17 CALL at $17.5 | 0.7435 | 0.1441 | 7 | 2024-05-17 | 0.7 - 1.65 | 1.75 | In |
Call | 2024-05-17 CALL at $20.0 | 0.2882 | 0.177 | 97 | 2024-05-17 | 0.1 - 0.35 | 0.33 | Out |
Call | 2024-05-17 CALL at $30.0 | 0.0212 | 0.0124 | 909 | 2024-05-17 | 0.0 - 0.05 | 0.03 | Out |
Be your own money manager
Our tools can tell you how much better you can do entering a position in Daqo New without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
Run Transaction History Now
Transaction HistoryView history of all your transactions and understand their impact on performance |
| All Next | Launch Module |
Daqo New Corporate Directors
Daqo New corporate directors refer to members of a Daqo New board of directors. The board of directors generally takes responsibility for the Daqo New's affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of Daqo New's board members must vote for the resolution. The Daqo New board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.| Dafeng Shi | Director | Profile | |
| Shuming Zhao | Independent Director | Profile | |
| Fumin Zhuo | Independent Director | Profile | |
| Mingsong Liang | Independent Director | Profile |
Already Invested in Daqo New Energy?
The danger of trading Daqo New Energy is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Daqo New is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Daqo New. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Daqo New Energy is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether Daqo New Energy is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Daqo Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Daqo New Energy Stock. Highlighted below are key reports to facilitate an investment decision about Daqo New Energy Stock: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Daqo New Energy. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in producer price index. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
Complementary Tools for Daqo Stock analysis
When running Daqo New's price analysis, check to measure Daqo New's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Daqo New is operating at the current time. Most of Daqo New's value examination focuses on studying past and present price action to predict the probability of Daqo New's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Daqo New's price. Additionally, you may evaluate how the addition of Daqo New to your portfolios can decrease your overall portfolio volatility.
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |
Is Daqo New's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Daqo New. If investors know Daqo will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Daqo New listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.93) | Earnings Share 2.43 | Revenue Per Share 28.129 | Quarterly Revenue Growth (0.41) | Return On Assets 0.0284 |
The market value of Daqo New Energy is measured differently than its book value, which is the value of Daqo that is recorded on the company's balance sheet. Investors also form their own opinion of Daqo New's value that differs from its market value or its book value, called intrinsic value, which is Daqo New's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Daqo New's market value can be influenced by many factors that don't directly affect Daqo New's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Daqo New's value and its price as these two are different measures arrived at by different means. Investors typically determine if Daqo New is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Daqo New's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.