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I am hoping someone can answer this as I haven't been able to figure the answer out on Google.

I have call options for May 2017 on a particular stock. Because of a recent purchase the company made, I have a nagging feeling they will do a secondary offering which will likely hit the share price in the short term.

Does anyone know if options strike prices are adjusted in the even that the company announces a secondary offering? I know they adjust if there is a stock split or reverse stock split but was unsure about a secondary. Thanks!



Submitted January 05, 2017 at 08:33AM by Theon_Turncloak http://ift.tt/2iLQZfo

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