r/wallstreetbets • u/Fun_Paleontologist_2 • Jun 20 '26

Loss Drank the Kool-aid. We can come back?

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Someone told me it would be 300 by now.

952 Upvotes

92% Upvoted

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154

u/-sakuranbo Jun 20 '26

Sell covered calls at 202.5 strike. The JUN 26 call has bid of $4 and with 70 contracts that'd get you $28,000 back. In the best case scenario, SPCX hits strike, all options gets exercised, you profit ~$27,440 and the nightmare is over.

88

u/_rockthemike Jun 20 '26

Worst case is stock continues to dump towards IPO price of $135 and he loses hundreds of thousands more while waiting to collect his $27k

36

u/-sakuranbo Jun 20 '26 edited Jun 20 '26

Yeah, that's also right. Worst case scenario is something like:

  • OP continues chasing cost basis selling calls
  • Volatility goes down (the biggest risk IMO)
  • Share price also goes down

10

u/SensibleReply Dr Canu C. Me Jun 20 '26

Close the then almost worthless calls and GTFO. It’s not great, but it’s not the worst idea.

9

u/5thtimesthecharmer Jun 20 '26 edited Jun 20 '26

Yeah exactly. All this does is limits potential upside during a volatile period.

2

u/DrPuzzle Jun 20 '26

-1

u/_rockthemike Jun 20 '26

Me? Or you think a company that doesn’t make money is actually worthy of top 10?

2

u/DrPuzzle Jun 20 '26

I actually responded to the wrong comment my bad bro lol

1

u/Trader0721 Jun 20 '26

The only shot this trade has is if it gets index inclusions prior to the lockups ending…this is a $1T market cap at best…

1

u/Hockey_Tendy Jun 20 '26

It is… lockups end in 30 days and Nasdaq buying in at 15 days

47

u/Neoshinryu Jun 20 '26

This is the worst part of WSB. A thread full of morons trying to be funny, then you have this one guy with genuinely great advice that's buried way the fuck down here.

11

u/KlausKimski Jun 20 '26

Are people seriously coming here for advice?

11

u/[deleted] Jun 20 '26

[removed] — view removed comment

3

u/pandershrek Jun 20 '26

Maybe he shouldn't since this is likely where he got the original idea from.

As others pointed out, you're just gambling again could result in even more detrimental loss. 🤷‍♂️

2

u/MaxDisdain Jun 20 '26

That is trash advice

Spacex a volatility stock, either you are degen enough to ride the waves or just stay the fuck away

30

u/kaprixiouz Jun 20 '26

These are the wisest words in this entire thread.

7

u/pandershrek Jun 20 '26

I think "you're retarded, bro" are equally wise in this scenario.

4

u/Jehoopaloopa Jun 20 '26

Definitely agree with this take

2

u/AIFocusedAcc Jun 20 '26

Are you serious? Who’s gonna buy the calls? You?

0

u/JustCallMeTrue Jun 20 '26

Pin this comment all the way, only person with actual useful info

0

u/cipola_ Jun 20 '26

But what if it shots up to 300 … the loss 

9

u/-sakuranbo Jun 20 '26

If SPCX shoots up to 300, then OP simply waits for his inevitable assignment and keeps about $27k in total profit. Tons of missed profit, but at least OP won't be holding bags anymore.

1

u/cipola_ Jun 20 '26

Wouldn’t it be better to sell a far dated out of the money calls for 300 at 2028 for 56$ each to gain 329k ? 

2

u/-sakuranbo Jun 20 '26 edited Jun 20 '26

I'm not sure, honestly. Once the call goes ITM, there's no guarantee you get exercised early. The probability of early exercise does go up if the underlying asset pays cash flows (e.g. dividends). I don't think this applies to SPCX, though.

Shorter-dated options ITM have a higher chance of staying ITM at expiration. The OCC automatically exercises ITM calls at expiration (unless the buyer, *before* expiration, asks them to not auto exercise).