Going_4_It
1 day ago
aBeezlee, Buying naked Call options is risky because they can expire worthless and you lose the money you paid for them.
On the other hand, selling covered Call options against stock you own is very safe, assuming you set the exercise price higher than your cost basis. Selling Call options is a way to generate cash income without selling the stock.
First, you get paid in cash when you sell the option, which temporarily encumbers the stock. You can not sell your stock while the option is in effect. If the option finishes "in the money" the option gets exercised and your stock gets sold, hopefully, at a profit but that depends if you set the exercise price correctly. Also, if the option price drops you can buy back what you sold to free up your stock, instead of waiting for the option to expire or get exercised.
The Absolute Best Case Scenario is that the stock price never reaches the exercise price and the option expires worthless. Then you are free to sell the option again. Wash, rinse, repeat. Selling Call options that expire is how I have made most of my profit. Occasionally I might get it wrong and my stock gets sold in which case I make a profit on the sale. Then I just wait a week or so, watch the movement of Bitcoin, and end up buying the same stock at a cheaper price, or maybe a comparable stock. Then sell some more options and repeat the process endlessly. I use the cash profit I earn to buy more stock so I can sell even more options; Press the Bet by averaging down, never average up.
I am invested mainly in Bitcoin Miner stocks. The most interesting feature of these stocks is that they follow the price of Bitcoin and also follow the stock market action. That provides more volatility and better opportunity to sell for profit. The VIX indicator shows whether the volatility is higher or lower and the best time to sell. Essentially, I am just "surfing" the volatility in the market, and it is far higher among the Miner stocks than the mainstream market.
It is my goal to hold onto my stocks for substantially higher prices in 2025. So I am very careful to sell the options at a exercise price that wont get reached. Many stocks do not have options traded on them, Some have options that trade on a monthly schedule, and fewer yet have options that trade weekly. I buy the stocks that have weekly options because it gives me more control.
Stock options, Calls and Puts, are a form of derivative. They were invented in the 19th century by Russell Sage with support from J.P. Morgan, who once said "No one ever went broke taking a profit."
Good Luck.
Monksdream
1 year ago
Applied Digital Corp NASDAQ: APLD
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Information Technology : Software | Company profile
Applied Digital Corporation designs, develops and operates datacenters across North America to provide digital infrastructure solutions to the high-performance computing (HPC) industry. It also provides substantial compute power to blockchain infrastructure and supports Bitcoin mining. It collaborates with local utilities to solve the problem of congestion on the power grid while stimulating the development of additional renewable energy. It operates co-hosting facilities that are designed to provide computing power in which its customers lease space and access to electricity primarily designed to mine crypto assets. Its datacenters primarily host servers securing the Bitcoin network but can also host hardware for other applications such as artificial intelligence, machine learning and other blockchain networks. Its datacenters are hosting sites for HPC applications that offer high compute power solutions. Its co-hosting facilities are in Jamestown, North Dakota and Garden City, Texas.
Applied Digital Corp NASDAQ: APLD
GoSymbol lookup
Information Technology : Software | Company profile
Applied Digital Corporation designs, develops and operates datacenters across North America to provide digital infrastructure solutions to the high-performance computing (HPC) industry. It also provides substantial compute power to blockchain infrastructure and supports Bitcoin mining. It collaborates with local utilities to solve the problem of congestion on the power grid while stimulating the development of additional renewable energy. It operates co-hosting facilities that are designed to provide computing power in which its customers lease space and access to electricity primarily designed to mine crypto assets. Its datacenters primarily host servers securing the Bitcoin network but can also host hardware for other applications such as artificial intelligence, machine learning and other blockchain networks. Its datacenters are hosting sites for HPC applications that offer high compute power solutions. Its co-hosting facilities are in Jamestown, North Dakota and Garden City, Texas.
F/T
1 year ago
DALLAS, June 23, 2023 (GLOBE NEWSWIRE) -- Applied Digital Corporation (Nasdaq: APLD) (“Applied Digital” or the “Company”), a designer, builder, and operator of next-generation digital infrastructure that is designed for High-Performance Computing (“HPC”) applications, today announced that its recently launched AI Cloud Service, through its wholly-owned subsidiary Sai Computing, has secured its second AI customer with an agreement worth up to $460 million over 36-months.
F/T
1 year ago
Applied Digital celebrates energizing of facility in Ellendale, ND
Applied Digital hosted a ribbon-cutting ceremony Friday, June 16, for its data center that is located about 1 mile west of Ellendale.
ELLENDALE, N.D. — In less than two years since breaking ground on its first facility, Applied Digital Corp. has constructed two data centers in North Dakota, but the future is even better for the company, according to CEO Wes Cummins.
“Before we hit the two-year mark of breaking ground on our first facility, we will have put almost 500 megawatts of data center capacity online in less than 24 months,” he said. “I don’t think you will find another startup or even maybe another company in the world that has done that amount of capacity in that amount of time and that’s great.”
Applied Digital, which is headquartered in Dallas, hosted a ribbon-cutting ceremony Friday, June 16, for its data center that is located about 1 mile west of Ellendale.
Applied Digital designs, develops and operates next-generation data centers across North America to provide digital infrastructure solutions to the rapidly-growing high-performance computing industry, according to its website.
The 180-megawatt facility in Ellendale is Applied Digital’s second in North Dakota along with the facility in Jamestown that went online in 2022. Cummins said the Ellendale facility currently has around 160 megawatts online.
“A few weeks from now, we will be fully loaded at 180 megawatts,” he said.
Applied Digital entered into a five-year energy service agreement with Montana-Dakota Utilities Co.
“We believe it’s a good thing for Applied, it’s a good thing for our customers in North Dakota, it’s a good thing for our company and shareholders,” said Nicole Kivisto, CEO of MDU.
The project provides an array of benefits to the Ellendale area, the transmission grid, Montana-Dakota customers and MDU stockholders, according to a news release from MDU. The data center provides new property tax revenue to Dickey County and helps lessen congestion on the power grid in that region of North Dakota.
The revenue to Montana-Dakota will be shared between its North Dakota customers and the company as outlined in the energy service agreement. Customer benefits will be via credits on their monthly bills.
Cummins said he spoke to officials from the Bank of North Dakota and the Public Service Commission in December about the potential for North Dakota to be at the center of the artificial intelligence revolution.
“We've started signing contracts for that and we are going to expand here at Ellendale hopefully with that as well,” he said. “There is a whole new revolution of compute power coming. North Dakota is going to be at the center of that. Applied Digital hopefully is leading the way.”
The data center includes 10 buildings — most around 500 feet by 50 feet — and another for offices, a warehouse and its support center. The buildings host about 55,000 mining machines.
The company’s data center currently has 24 employees, said Nick Phillips, executive vice president of hosting operations and public affairs, after the ceremony. He said the company plans to have 29 total employees at the data center in Ellendale.
“If we do an expansion here, we might get as much as 60,” he said.
The mining machines mine Bitcoin, Cummins said after the ceremony.
“But, we’d like to expand AI (artificial intelligence) here,” he said.
Rep. Jim Grueneich, R-Ellendale, touted the economic impact that Applied Digital has brought to Ellendale. He said he knows people who are moving back to Ellendale for work.
“We are going to revitalize these small communities and it’s important for rural North Dakota and small-town America,” he said.
Next generation data centers open significant opportunities for the future diversification of the state’s economy while providing new jobs for Ellendale residents, said Gavin Miller, constituent services representative for Sen. Kevin Cramer, R-N.D., who read a letter signed by the senator.
“With North Dakota’s wide open spaces, abundant energy and ideal climate, there is a bright future for additional development within our state,” he said.
For more than 20 years, officials have worked to build a vibrant technology sector in North Dakota by creating the right business climate that promotes investment and innovation, said Phillips, who read a letter signed by Sen. John Hoeven, R-N.D.
“As a result, technology is serving as the third wave of our state’s economic growth following expansion in agriculture and energy,” he said. “Applied Digital’s new facility builds upon this progress providing important infrastructure and computing capacity to support a variety of applications across industries.”
Jamestown facility
Cummins said Applied Digital has expanded its plans for the new facility in Jamestown that will host high-performance computing applications such as natural language processing, machine learning and other high-performance computing applications developments. He said it will now be a 9-megawatt facility instead of 5 megawatts.
“A portion of the capacity turned on last month, and the remainder of the capacity turns on by the end of the year,” he said.
Applied Digital recently announced that its Jamestown facility successfully passed the integrated systems test for its first 200 kilowatts of high-performance computing equipment and systems.
The integrated systems test is the final step in ensuring that all systems, including powered equipment, operate in accordance with the design intent, according to a news release on Applied Digital’s website. The test verifies the performance and reliability of the systems under load, including power cuts and serves as a crucial evaluation that determines whether the design, equipment selection and construction meet the expected performance standards, ensuring optimal reliability and high availability.
F/T
1 year ago
Applied Digital Announces Successful Integrated Systems Test at Jamestown, North Dakota Facility for HPC Deployment
DALLAS, June 12, 2023 (GLOBE NEWSWIRE) -- Applied Digital Corporation (Nasdaq: APLD) ("Applied Digital " or the "Company"), a designer, builder and operator of next-generation digital infrastructure that is designed for High Performance Computing (“HPC”) applications, today announced that its Jamestown, North Dakota facility successfully passed the Integrated Systems Test (IST) for its first 200KW of HPC equipment and systems.
The Integrated Systems Test is the final step in ensuring that all systems, including powered equipment, operate in accordance with the design intent. This comprehensive test verifies the performance and reliability of the systems under load, including power cuts. It serves as a crucial evaluation that determines whether the design, equipment selection, and construction meet the expected performance standards, ensuring optimal reliability and high availability.
“This is a pivotal step for the Company as we continue to build out our ultra-efficient HPC digital infrastructure,” said Applied Digital CEO and Chairman, Wes Cummins. “This has truly been a company-wide effort and reaffirms our confidence in our datacenters’ reliability and performance for customers. This is a significant proof-point of a process we started over a year ago with a proprietary datacenter design to serve high power density workloads in purpose-built digital infrastructure. We are excited for the future and look forward to the successful development of phases 2 and 3 in the same building that are currently underway and are expected to be fully operational by the end of the year. With the significant amount of demand we are currently seeing for this style of digital infrastructure, we expect to continue to build out our current capacity pipeline to over 200MW. In addition to providing colocation capacity, our digital infrastructure is an important differentiator for the new Cloud Service offering through Sai Computing, our wholly-owned subsidiary.”