Someone expects better news when Athenahealth reports earnings
in about two weeks.
The medical-billing company fell hard on May 3 after issuing a weak
guidance. It's been shuffling in a range since, but trying to work
its way higher over the last month.
optionMONSTER's tracking programs detected the sale of almost 1,300
July 80 puts for $1.26 to $1.28. Previous open interest stood at
just 748 contracts when the session began, which indicates that new
positions were initiated.
The investor is now on the hook to buy shares for $80 if they close
below that level on expiration. Above that price, he or she keeps
the premium and the puts will expire worthless. (See our
section for more on
ATHN is down 2.08 percent to $86.07 in afternoon trading. The
company hasn't yet officially announced the date of its next
earnings release, but last year's calendar suggests it will occur
around July 15--before today's puts expire.
The shares would also have to break support at both its 200-day
moving average and the $85 level where it consolidated in May for
the investor to lose money on the short puts.
Total option volume is almost 6 times greater than average so far
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