One investor wants to turn time into money with TripAdvisor.
optionMONSTER's tracking systems detected the sale of about 3,600
March 30 puts for $0.25. Volume was almost triple the open interest
in the strike.
The trader is now obligated to buy shares of the travel-information
service for $31 if they fall to that level over the next 1-1/2
weeks. If they don't, the puts will expire worthless and he or she
will keep the credit.
is a common strategy when investors like a stock but don't want to
spend money to get long. It mainly profits from
, the process by which options lose money at an accelerating pace
as they near the end of their lifecycle. (See our
TRIP fell 1.11 percent to $31.07 yesterday and has fluctuated
between $26 and $36 since getting spun off from Expedia in
Overall option volume in the name was twice the daily average in
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.