No fair value for AAOI today: only 1 of 4 models has usable inputs, and one model is a guess. A trailing loss of $57M leaves no earnings to multiply. Free cash flow of minus $601M leaves nothing for the cash-flow model or the DCF. Those are its own reported figures, not a gap in our data.
Prices as of 11:49 PM ET, Sep 21. Check the live quote before you send an order.
The put
Skip
Skip the put. It pays a lot because AAOI can drop a lot. Wait, or buy shares.
If it goes against you: you buy 100 shares at $104, which after the $1,000 you keep works out to $94.00 a share. Below $94.00 you are down on the trade. From that day the shares take above is the one that applies.
The order, if you sell it anyway
You get$1,000 (limit about $10.00)
If it fallsBuy 100 shares at $104
Cash to hold$10,400
Close earlyBuy back at about $6.00 ($600)
Chance you buy the sharesabout 35 in 100
ContractAAOI Oct 30 $104 put
ActionSell to open
In your broker app: open the stock → Trade → Options → Sell to open → pick the contract shown here.
Why skip
The put: Oct 30, $104 strike, 39 days out. Pays $1,000. Roughly a 35-in-100 chance you end up buying the shares.
On paper: 90% a year. That number assumes AAOI keeps moving like it did the past two years. Take that away and it is -54% a year. That is why we say skip.
Next earnings Nov 5, after this put ends. We never sell a put across a report.
If you already own 100 shares
Income call
For income on AAOI you already hold: sell the Oct 9 $140 call and take $155 now. If AAOI climbs to $140 by Oct 9, your 100 shares are sold at $140, so only do it if you're happy selling there.
If it climbs past $140 your 100 shares are sold at $140 and you keep the $155. That is the trade working, not a loss.