Join        Login             Stock Quote

Traders Show An Appetite For Hain Celestial Put Options

 January 16, 2013 03:05 PM

HAIN - Hain Celestial Group, Inc. – Bearish options are changing hands on theprovider of natural and organic food products today, with shares in Hain Celestial Group down 1.5% on the session to stand at $52.90 as of 12:40 p.m. ET. Downside put buyers on the operator of well-known brands, including Celestial Seasonings, Terra and Arrowhead Mills, among others, may be bracing for shares in the name to extend losses following the company's fourth-quarter earnings report in February. The most active option contracts on Hain today are the Feb. $50 strike puts, with more than 5,000 lots in play versus open interests of 1,247 contracts. It looks like most of the $50 strike puts were purchased this morning for an average premium of $2.30 apiece. The trader or traders buying the puts may profit at expiration should HAIN shares drop 10% from the current price of $52.90 to breach the average breakeven price of $47.70. Shares in Hain Celestial Group last traded below $47.70 back in May of 2012. The company is scheduled to present at the 15th Annual ICR XChange in Miami Beach, Florida, on Thursday.

[Related -Sector Detector: Is There Still Enough Fuel In The Bulls’ Tank?]

GNW - Genworth Financial, Inc. – Shares in Genworth Financial, Inc. reached their highest level since March 2012 this morning after the insurer announced plans to separate much of the company from its mortgage guaranty unit. The price of GNW shares jumped14% to an intraday high of $9.27 in the early going, sparking heavy trading traffic in upside call options on the name during the first half of the session. Traders positioning for Genworth's shares to extend gains during the next two trading sessions snapped up January expiry call options. The $9.0 strike calls are seeing the most volume, with upwards of 6,400 in-the-money contracts in play versus open interest of 2,575 contracts. Time and sales data suggests most of the calls were purchased for an average premium of $0.14 apiece, thus positioning buyers to profit should GNW shares exceed the average breakeven price of $9.14 at expiration this week. Bullish positioning on Genworth Financial spread to the Feb. $8.0 and $9.0 strike calls, as well. It looks like traders purchased around 1,900 in-the-money calls at the $8.0 strike, and some 2,000 in-the-money calls at the $9.0 strike, at average premiums of $1.14 and $0.45 each, respectively. Genworth Financial, Inc. is scheduled to report fourth-quarter earnings after the closing bell on February 5th.

[Related -Sector Detector: Bulls Run With A Temporary Green Flag From Congress]

K - Kellogg Co. – Ready-to-eat cereal and convenience foods producer, Kellogg Co., appeared on our ‘hot by options volume' market scanner on Wednesday morning after bullish options changed hands in the February expiry. Shares in Kellogg are trading slightly lower this morning, down 0.25% to stand at $56.98 as of 11:50 a.m. ET. The company is scheduled to report fourth-quarter earnings ahead of the opening bell on February 5th, and it looks like one trader may be positioning for shares in the name to rally in the weeks leading up to, and perhaps following, the earnings release. Call volume on Kellogg is greatest at the Feb. $57.5 strike where 1,000 contracts were purchased during the first three minutes of the trading day at a premium of $0.50 each. The long call position may be profitable at February expiration in the event that Kellogg's shares rally 1.8% to surpass an effective breakeven price and fresh 52-week high of $58.00. Shares in the maker of Frosted Flakes, Eggo waffles and Froot Loops are up roughly 2.0% since the start of the year, and have increased nearly 23% during the past six months.



Post Comment -- Login is required to post message
Alert for new comments:
Your email:
Your Website:

rss feed

Latest Stories

article imageAutomating Ourselves To Unemployment

In this current era of central planning, malincentives abound. We raced to frack as fast we could for the read on...

article imageFed: Waiting For June… Or Godot?

The Federal Reserve left interest rates unchanged yesterday, as widely expected. But the possibility of a read on...

article imageThe Single Best Place To Invest Your Money For Retirement

It was never supposed to be this daunting. At least that's what we were read on...

article imageNegative Blowback From Negative Interest Rates

The Federal Reserve is widely expected to leave interest rates unchanged today. But perhaps standing pat read on...

Popular Articles

Daily Sector Scan
Partner Center

Fundamental data is provided by Zacks Investment Research, and Commentary, news and Press Releases provided by YellowBrix and Quotemedia.
All information provided "as is" for informational purposes only, not intended for trading purposes or advice. iStockAnalyst.com is not an investment adviser and does not provide, endorse or review any information or data contained herein.
The blog articles are opinions by respective blogger. By using this site you are agreeing to terms and conditions posted on respective bloggers' website.
The postings/comments on the site may or may not be from reliable sources. Neither iStockAnalyst nor any of its independent providers is liable for any informational errors, incompleteness, or delays, or for any actions taken in reliance on information contained herein. You are solely responsible for the investment decisions made by you and the consequences resulting therefrom. By accessing the iStockAnalyst.com site, you agree not to redistribute the information found therein.
The sector scan is based on 15-30 minutes delayed data. The Pattern scan is based on EOD data.