Let's be honest boys and girls. Anyone in this stock is a gambler. The bets have been placed. It's going to move, but there's going to be a massive volatility crush. Those of you that bought front month calls are going to be disappointed, even if it goes up. Puts will suffer as well, just not as much. It's going to take a HUGE move to profit in any options trade, calls or puts. Good luck to all. We're gonna' need it.
how is this a gamble? The earnings will continue to be bad, the top shareholder wants to sell out, the competition is getting greater, the economy isn't justifying a huge increase in sales, and the stock market is heading down... so for the short term (2-4 months) it will head downward.. how far.. who knows?
The future for 2014 and on will probably be brighter, but you gotta get to the bottom for that type of investment
There are no investors in JCP because investing in JCP does not make sense. Investors in this kind of stock tend to hedge their investments against competitors. Who in their right mind would hedge JCP long Macy's short? Or Dillards, Sears, or any other department store for that matter. JCP is the loser in this case.
Also, retail has made a major move to online. Is JCP even competing with Amazon or any of the other discount online retailers? Long term outlook is also poor.
So yes... You have people going long on a complete gamble. I don't think shorts are gambling though. They are making a educated risk, based on the fundamentals of the stock. Also when you have a guy who controls 17% of a stock leave the company, say he has lost faith in the company, and make a deal to share his shares in 4 big blocks, that's a sign to run for the hills.