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Here are my stats for the PCLN Double Calendar compared to Double Diagonal. First a few notes on the numbers: Prices were noted each day around 3:00 and used mid point prices (although we all know that PCLN option prices jump a lot during the day and mid point prices were not always easy to fill). Commission not included. No trade adjustments were made (although if this was a real trade adjustments may have been warranted). Earnings Date -5 Days Stock Price $905.00 Dbl Cal $3.65 Short Aug9 890p/920c, Long Aug16 890p/920c Dbl Diag $7.35 Short Aug9 885p/925c, Long Aug16 890p/920c Earnings Date -4 Days Stock Price $910.10 Dbl Cal $4.75 Gain = $1.10 (+30.1%) Dbl Diag $9.15 Gain = $1.80 (+24.5%) Earnings Date -3 Days Stock Price $927.30 Dbl Cal $5.00 Gain = $1.35 (+37.0%) Dbl Diag $9.15 Gain = $1.80 (+24.5%) Earnings Date -2 Days Stock Price $937.90 Dbl Cal $4.25 Gain = $0.60 (+16.4%) Dbl Diag $8.80 Gain = $1.45 (+19.7%) Earnings Date -1 Days Stock Price $927.50 Dbl Cal $4.55 Gain = $0.90 (+24.6%) Dbl Diag $8.70 Gain = $1.35 (+18.4%) Earnings Date -0 Days Stock Price $933.80 Dbl Cal $5.00 Gain = $1.35 (+37.0%) Dbl Diag $9.15 Gain = $1.80 (+24.5%) Some observations: For both the DC and DD, the price jump after the first day was the biggest jump. From a percentage perspective, the DC did a little better when the strikes were OTM or ATM. When the strikes got deeper ITM, the DD started to fair better - implying that if the stock price spiked up and didn't give you time to adjust your trade then the DD would be better than the DC in this case. DD strategy only makes sense for very high priced stocks or for moderate priced ones where strikes are available in $1 increments (instead of $2.50 or $5.00 increments). Otherwise, the difference between the premium you are buying vs the premium you are selling is too much. The DC appears to generally outperform the DD assuming the pre-earnings stock moves are not too much and are not big spikes in short time-frames/overnight that don't give you time to adjust your trade. The DD does offer protection for earnings leaks or early announcements coupled with the corresponding large IV drop. For example, if PCLN earnings came out early and the same stock move occurred then the DC would basically be worthless (100% loss) but the DD would still be worth approx the difference in the strikes $5.00 in this case (32% loss).

This is a stock that invokes religous fervour. With a 15 bn Market cap it basically makes batteries on wheels which it produces at a loss. It sells these based on upon the right to drive in the bus lane and federal tax credits. I think it is a fair bet to say that it is unlikely to be taken over by Warren Buffet anytime soon. It has gone up like a skyrocket and will probably eventually come down like a stick. However, be very careful as it is often has incredibly high levels of short interest, historically up to 40 days , so it spikes on well orchestrated short squeezes usually precipitated by a series of +ve announcements . The IV is huge (and real) but my major concern in building sensible strategy is the bid/ask spread on the options which seems often to reflect the IV. i wouldnt compare this to AAPL which is way more mature, this is akin to a biotech....