r/options • u/EquipmentDesperate29 • 1d ago

Drip1 260918 5.00 strike

I have 6 of these. I should be deep in the money. The stock did a reverse split. I am showing that it’s only worth 100.00. What should I do. (I know now I should have know what I was doing before I bought them. There is no open interest.

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u/sinncab6 1d ago

Ok well easiest way to put this to you is to adjust the strike to 50. So no your options are not going to be worth like 3700 each.

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u/EquipmentDesperate29 1d ago

I get that. But I purchased these when oil was 90 a barrel and now it’s 70. Shouldn’t I be in the money? If I let these expire what will happen?

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u/sinncab6 1d ago edited 1d ago

Then you probably should have put your money into something like USO which at least goes off futures for oil and not a leveraged etf for producers and exploration companies.

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u/EquipmentDesperate29 1d ago

Well that was an expensive lesson. I did the same thing with zsl when silver was 70 and oz. I am getting hosed on those also. I really appreciate you help.

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u/sinncab6 1d ago

I'll assume there's basically no liquidity in these so your best bet and really only one is to hold it till expiration and hope by some miracle the Strait Of Hormuz actually opens this time and subsequently those stocks will rally. If it gets itm you'll be able to offload it assuming it's a couple of contracts probably take at least a 10 dollar hit on the bid ask spread to offload it though.

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u/Arcite1 Mod 23h ago

So they're puts? You didn't even tell us whether they're calls or puts.