Options update 12-13-07: Sun Micro (JAVA) shares below level of CEO promotion & KKR investment

Posted Dec 13th 2007 12:12PM by Paul Foster
Filed under: Sun Microsystems (JAVA), Options

Sun Microsystems (NASDAQ: JAVA) is recently up 7 cents to $19.12.

Jonathon Schwartz was appointed CEO and President in April of 2006. KKR was given one board seat in January of 2007 after JAVA made a convertible $700 million private placement transaction with JAVA. JAVA January option implied volatility of 34 is below its 26-week average of 39 according to Track Data, suggesting decreasing price risk.

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

Tags: java, option implied volatility, OptionImpliedVolatility, sun microsystems, SunMicrosystems

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Reader Comments (Page 1 of 1)

1-03-2008 @ 10:39AM

jbob said...

Can someone help me understand why Schwartz still has a job? It's doesn't seem that anyone over there understands ROI if they keep paying him millions and all they get in return is layoffs and PR stunts like ticker changes and reverse splits.

I want HIS job.

1-04-2008 @ 5:44AM

KEN Dearden said...

Could not agree more. Time and time again these hot shots propose reverse split that never work out for the small investor. The stuff just keeps falling in value each passing day after the split. Hey look all we started out at 22 now we are down to 17 same old crap. Stand by folks what usually happens is some other hot shot comes in and makes a tender offer at rock bottem price when it finally stops falling. The company hot shot will receive a golden parachute for his bad decision and the rest of us get another tax write off. The sec needs to dis alow these reverse splits now. KDD