Options Update: 3Par Volatility Low and Shares Trading Above Hewlett Packard's $24 offer

Posted Aug 24th 2010 5:30PM by Paul Foster
Filed under: Dell (DELL), Hewlett-Packard (HPQ), EMC Corp (EMC), Options

3Par Inc. (PAR) closed up 94 cents to $27.03. Hewlett-Packard company (HPQ) offered to acquire PAR for $24 per share in cash. 3Par, a provider of utility storage, received an offer from Dell, Inc. (DELL) for $18 per share in cash on August 16. PAR overall option implied volatility of 49 is below its 26-week average of 56 according to Track Data, suggesting decreasing price movement.

EMC Corporation (EMC) closed down 45 cents to $18.08. EMC is trading below its 200 day moving average of $18.31. September put option implied volatility is at 30, December is at 33, April is at 36; versus its 26-week average of 28 according to Track Data, suggesting larger 2011 price movement.

Update is by Stock Specialist Paul Foster of theflyonthewall.com

Tags: 3par, emc corporation, inthenews, options