Trader looks for more upside in Hasbro


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One investor is ringing the register in Hasbro while looking for further gains.

Back on April 23 , our Heat Seeker tracking program detected the purchase 2,000 June 35 calls for about $1.10. The toymaker then pushed higher, causing those contracts to shoot up in value.

Today they were sold for $2.08 as an equal number of June 37.50 calls were bought at the same time for $0.71, indicating that the position was rolled to the higher strike. The investor collected a credit of $1.37, so they got more than their money back and still can make even more if the stock continues to climb.

HAS fell 1.29 percent to $36.50 in late morning trading and has been bouncing in a range since the market crashed last summer. The company, which owns brands such as Transformers and Milton Bradley, has been struggling with weak demand in recent quarters. It was after a poor earnings report that the stock fell last month, drawing those initial buyers to the June 35s.

Overall option volume in HAS is triple the average amount so far today, with calls outnumbering puts by 19 to 1.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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This article appears in: Investing , Options

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