Hmm... stock options?

Weird item today. Someone at my shop evidently thought I was doing something right, put me in for some corporate award. Bottom line is I get a nice little certificate and opportunity to buy 150 class A common shares of the company. Have no idea if it's worth it. If I go with the full 150 (can only go 50 at a time over a three-year period), I'm looking at about $7,500. Not much of a market follower, but it seems that the advantage is that my buy-in is always locked at the current price. Stock goes up? Doesn't matter. I still only pay today's price. Other than that, I don't see a huge upside. Advice, anyone? (Knowing what financial geniuses and moguls we have in attendance...)

 

Sounds reasonable. Can you do it through payroll deductions?

 

Looks like I can. Price of the stock is already up more than a point over my price. It's intriguing. Just don't know all the angles (tax liability, etc.) yet.

 

Does your parents (or anyone in your family/circle of friends) have a financial advisor? If so, it may be worth a call to them to find out some more.

When you say you're locked into the 12-26 price, is that just a ceiling? If the stock drops or if it splits, do you get to buy at the lower price?

 

Hope you have better luck than me.

I was granted 242 options about six years ago at $37.

Stock made it up to just over $50. Was all set to cash in the options when it hit 55.

Never made it. Trading at $31-$32 these days.

Options run out in another four years.

 

If I'm reading this right, yes. Actually, the date they fixed the price was in mid-November. Checking NYSE, it's already up more than seven bones (although, it's riding as high as it's been all year and checking SEC filings, the company leadership is selling a ton of stock -- that doesn't bode well).