The bullish paper continues to build in Westport Innovations.
optionMONSTER's Heat Seeker monitoring system detected unusual
buying in the January 19 calls for $0.30 on Thursday. The maker of
parts for natural-gas engines climbed the next two sessions,
leading those calls to more than quadruple to as much as $1.28 by
And the bullish trades continued. This time, 4,500 April 17 puts
were sold against open interest of just 912 contracts. The largest
block fetched $1.10, which the investor will keep as profit if the
shares close over $17 on expiration. That's slightly below its
2-1/2 year low last week.
when they like a stock but don't want to shell out cash getting
long. The strategy lets them make money from the
passage of time
, even if shares fall slightly. Yesterday's trade was also
has been climbing in the name, which increases the value of those
contracts sold short. (See our
WPRT ended the session up 6.2 percent to $19.52 but lost roughly
half its value between early July and mid-December. While its
business has grown rapidly, earnings have consistently missed
expectations. Short interest also represents 20 percent of the
float, which could fuel a rally.
Total option volume in Westport yesterday was triple its daily
average for the last month.
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