Firstly, you don't state whether or not the company in question is public yet. If it's public, look at the company's stock history -- unless they've got some great new product line (or some really bad news) in the pipeline, you can likely use it as a good yardstick for mid-term future growth. If they're not public yet, it's likely a good deal; most (reapeat: MOST, not all) companies go up at least some after their IPO. Note that, depending on how quickly they let you vest, this may be somewhat irrelevant. One semi-typical company is the one I worked at prior to its getting acquired by Cisco: its IPO was at 17.5, the stock rose vigorously to 40... and then plummeted to the 10-15 range, where it stayed for a couple of years, until the acquisition. So, the options I had weren't worth the paper they were printed on -- that's really the big "gotchya". The good news is that there really aren't any others -- it's not like you *lose* money on an option, 'cause you don't own the stock; you just own the option to buy it. In a nutshell, sure, I'd go along with them, especially if it's pre-IPO, or a company with a good track record.
Is there any chance in the foreseeable future? Does the apparent acceleration of the expansion of the Universe in any way influence how you feel about the GUT's future?
Firstly, you don't state whether or not the company in question is public yet. If it's public, look at the company's stock history -- unless they've got some great new product line (or some really bad news) in the pipeline, you can likely use it as a good yardstick for mid-term future growth. If they're not public yet, it's likely a good deal; most (reapeat: MOST, not all) companies go up at least some after their IPO. Note that, depending on how quickly they let you vest, this may be somewhat irrelevant. One semi-typical company is the one I worked at prior to its getting acquired by Cisco: its IPO was at 17.5, the stock rose vigorously to 40... and then plummeted to the 10-15 range, where it stayed for a couple of years, until the acquisition. So, the options I had weren't worth the paper they were printed on -- that's really the big "gotchya". The good news is that there really aren't any others -- it's not like you *lose* money on an option, 'cause you don't own the stock; you just own the option to buy it. In a nutshell, sure, I'd go along with them, especially if it's pre-IPO, or a company with a good track record.
Is there any chance in the foreseeable future? Does the apparent acceleration of the expansion of the Universe in any way influence how you feel about the GUT's future?