Disclaimer

Disclaimer Clause
The information contained in this blog is my personal diary and has been prepared solely for myself. Without any previous reading material or discussion, by just reading my blog contents, reader may misunderstand the contents.
All the contents I am talking to myself and most contents are hypothetical or imaginary.
This blog has been compiled in good faith, with no intention to cause hurt, loss, or any trouble. No representation is (either express or implied) as to the completeness or accuracy of the information it contains.
This blog also is not an advice, recommendation or an invitation to buy or sell or invest in anything, eg shares, futures, derivatives, gold, etc. Consult your investment adviser before making any decisions.
The copyright of the material contained in my blog remains solely with me. You shall not copy, reproduce and / or distribute this information without my permission.

Please Click LIKE to like my blog. Thanks for support

Friday, January 27, 2012

Why TMS warrant is so cheap? Or is it a trap?

TMS warrant TMS-WA is RM0.115 or RM0.12
TMS share price is RM0.40

TMS warrant exercise price is RM0.10 and TMS warrant expiry date or maturity date is 16 January 2017.


If we use RM0.40 minus RM0.10 = RM0.30.
But why TMS warrant stock price is just RM0.12? Is it because it is too cheap and we can buy? Or is it because the conversion period has not started? Or is it because the TMS stock price going to drop sharply?




Thanks

Labels: ,

1 comments:

  1. U can do the conversion immediately on holding the warrant but the whole process of conversion will take about 2 weeks. Anything can happen to the stock price within the 2 weeks. Especially with TMS shares which does not have any FA value...so that's why the big gap and no one willing to pay the high price and seller willing to sell now instead of holding it for conversion.

    ReplyDelete

Subscribe to: Post Comments (Atom)

Followers