What's working currently for me, is selling out of the money calls on the rallies, and buying those back on the dips.
If it turns into a straight rocket up, I've sure left a lot on the table.... but given the volatility here, those premiums are adding up nicely.
And though James and I agree on EPS and EPS potential, the market doesn't seem right now to want to pay very much PE for those EPS (on most any stock). That wall at $25ish seems pretty real to me - I think TEX is worth more, but the sellers at $25 sure don't, and that becomes self fullfilling.
So even though $30s, $40s and more is in the cards..... I don't think it happens in a straight shot, and selling short term calls OUT of the money is bringing in close to $1 a month. That adds up.
I agree with you %100 in terms of the future of TEX. But CNBC has nothing to do with my choices, I dont trade every day,and I am still amazed that someone with your intelligence isnt tempted to play the incredible swings in this stock.