How Benchmark's Kevin Kelly Is Playing Equinix

The video discusses recent trades involving Netflix and Equinix. For Netflix, a covered call strategy was recommended due to high implied volatility, which aimed to reduce cost basis. Despite a stock price drop, the strategy remains profitable, though option prices increased unexpectedly. For Equinix, the focus is on data centers' growth, with a call spread strategy initially used. The current strategy involves selling a put and buying calls, aiming for higher returns. Both trades highlight strategies for volatile stocks and the importance of data centers in cloud infrastructure.

What was the initial stock price for the Netflix covered call strategy?

• $365

• $420

• $390

• $450

Why was the call spread strategy on Equinix considered beneficial?

• It was a short-term investment.

• It provided exposure to S curve growth.

• It focused on dividend returns.

• It minimized losses during market downturns.

What is the main role of data centers in technological growth?

• They offer high-speed internet services.

• They are used for cryptocurrency mining.

• They are primarily used for storage.

• They provide the backbone for cloud streaming and AI.

What is the potential return on the new Equinix trade strategy?

• Four times the cost

• Five times the cost

• Twice the cost

• Three times the cost

Which major companies are mentioned as using Equinix?

• Walmart, Microsoft, Amazon

• Netflix, Hulu, Disney

• Tesla, IBM, Oracle

• Google, Facebook, Apple