- I think there are political risks present that the market isn't pricing properly. The valuation allowance also has me worried for bulls at this point.
- In spite of the problems present, the shares are trading at multi-year high valuations. The last time they traded on the high side, they went on to languish.
- Unfortunately, the premia for short puts at reasonable strike prices are too thin. For that reason, I can do nothing but wait for the inevitable drop in price.
For further details see:
Twitter: Political Risk And A Valuation Allowance Make This A Risky Bet