Still Betting Against US Global Investors

I received a few emails on my position in US Global Investors (GROW), so I'd like to make a few comments here.

First, the puts I'm long are the October 10's. Secondly, this is a very tiny position for me - my cost basis is less than 1% of my account. I started the position out very small because I want a look at the Q4 numbers due out tomorrow before I make a bet of any significant size. Third, as of the time I'm writing this (1:52 pm), I don't plan on selling my position ahead of earnings, even though I'm up over 100% on it in a single day - I believe it's worth the risk to hold the position longer.

Unlike Lenny Dykstra, I'm not going to pretend that unhedged options positions are low or even moderate risk. Remember, when you own calls or puts, your downside risk is 100%. Therefore, you better be very confident when you put your money down in an options trade.