One investor is sticking with Whirlpool after a blistering run.
optionMONSTER's Heat Seeker monitoring program detected the
purchase of about 3,000 October 75 calls for an average premium of
$3.32. Roughly the same number of September 70 calls were sold for
about $5, but volume was below open interest at the strike.
It appears the investor closed a previous holding in the Septembers
and rolled the position to the higher strike. He or she recovered
about $1.68 and their capital and have an additional month to
benefit from upside in the shares.
WHR rose 0.27 percent to $74.55 in morning trading, and is up 36
percent since late June. Weakness in Europe have recently hurt
earnings at the appliance maker, but management has been raising
prices and the U.S housing market continues to improve. There was
in the October calls last week.
Overall option volume in the name is 6 times greater than average
so far today, with calls outnumbering puts by 16 to 1.
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.
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