WKHS@20 : Fucks with shitadel and Ken
Ken r fuk @WKHS $20
WKHS: Ken r fuk@$20 this week🍆💦💦💦
My PP small but here is my position mods and /u/zjz
Less that a month ago. Citadel securities has taken short position in WKHS. They are short 2,099,000 shares in Puts, have 1,822,200 shares tied into Calls, and own 779,284 shares.
These filings don’t include if they sold the calls/puts, or bought the calls/puts. But I have reason to believe, given that they have 2,099,000 shares short (which stands for about 21,000 Puts contracts; 100 share multiplier per contract) and are in the 6/18 Strike Price of 6 Put and the 9 Put as well. Just look at the open interest from thinkorswim below (Boxed in orange, right side). And obviously you might think, just coincidental. But….. I have coded the change of open interest to determine when this position was made, and if it was made all at once. To the right of the picture below, you can see that this position was placed between 15-20 trading days prior (OI (-15/-20Days). AKA 3-4 weeks prior, which puts us at the week prior to their fillings, May 17th. Like I said, these fillings were reported on May 21st.
Now what about the call? They are tied into 1,822,200 shares or about (18k call contracts). Now again, looking at the coded option chain data, you can see that once again there was a position placed again for the 20 Call of this weeks, 6/18 expiration. The open interest increased to 18,513 15 days ago, or again, right at the time of Citadels fillings on May 21st.
- In my opinion, I believe that Citadel Securities has sold both the 6 Strike price put and the 20 Strike price call both on this weeks expiration. This implies that they will have to start covering very quickly if we manage to blow through the 20 strike price.
- Not again, mentioning that WKHS has a short interest of over 50%, and Citadel securities according to their 13F fillings is short on a combined (2,099,000 Put side + 1,822,000 Call Side = =3,921,000 shares short. WKHS has shares outstanding of 127,000,000.
- Citadel alone is short (3,921,000)/(127,000,000) = 3.087%.
- This implies that Citadel is short WKHS overall as a company, 3.087%. This could spell a recipe for disaster, as WKHS has a short interest of over 50% and a market cap under 2 Billion.
- I believe that the position that Citadel has taken resembles that of a Long Straddle/Protective Collar at the 6 and 9 Strike Prices. Please click the link to learn more https://www.investopedia.com/trading/options-strategies/
- But again, if you look at my % Shares Outst. Column, you can see that over 3.7% of the shares outstanding in WKHS are already bound by call contracts in the money just for this upcoming week. Not including an additional 5.4% shares outstanding sold short in call contracts below 35 Strike that expire this week. Therefore, based on the 6/18 Week Contracts, More than 9% of the available shares of WKHS are bound in call contracts that expire this Friday, adding to the short pressure.
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June 13, 2021 at 08:40PM