Option update 11-28-08: eBay volatility lower, suggesting less risk

Posted Nov 28th 2007 1:47PM by Paul Foster
Filed under: eBay (EBAY), Options

eBay (NASDAQ: EBAY) is recently up $1.67 to $34.19.

American Technology Research says: "We recommend that investors consider EBAY as a defensive play-the shares as attractively valued according to just about every traditional metric, EBAY offers insulation from a U.S. consumer spending slow-down via its substantial international exposure."

EBAY December option implied volatility is at 33, January is at 38 and April is at 40. EBAY average option implied volatility over the last 26-weeks is 37 according to Track Data, suggesting decreasing near term risk.

Daily Options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com

Tags: American Technology Research, AmericanTechnologyResearch, cyber monday, CyberMonday, defensive play, DefensivePlay, ebay, meg whitman, MegWhitman, online auctions, OnlineAuctions