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Warrant Calculation. Check my work please.


Laxputs
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Is this right or am I way off...

 

Warrant price today = .2

Exercise price = 1

Time until expiration = 1 year

Current Stock price = .75

Estimated Value of Stock in 1 year = 2$.

 

2$-1$-.2 = .8

 

.2 ---> .8 over 1 year

 

IRR 300%

 

Is this correct? TIA

 

And in general most just sell the warrant on the open market rather than exercising them with the company?

 

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