Unusual Options Activity for May 28 2015
A quick look at 5 stocks showing unusual options activity with some color around their trading setups as well as recent news and happenings.
1.  ConocoPhillips (COP)- The June 26 weekly $62.50/$60.50 1×2 ratio bear put spread was put on 2,888 times for a $0.03 debit. Shares put in a lower high in April and now appear poised to retest the low $60’s.
2. Â eBay (EBAY)- Nearly 8,000 July 17 $62.50 calls were purchased for $0.70-$0.76 early this morning (13,000+ traded now), against open interest of 12,157 contracts. Axiom upgraded them to buy with a $70 price target on May 26th. They see the PayPal spinoff and other spinoffs as a positive for EBAY’s stock price later this year.
3. Â Marvell Technology Group (MRVL)- 3,500 Aug $16 calls were purchased for $0.33, against open interest of 15,205 contracts. There was large buying in the July 17 $14 calls yesterday. The AVGO/BRCM deal is providing a lift for some of the semiconductor stocks.
4. Â OvaScience (OVAS)- A rollout from 2,000 June $35 calls ($1.10 credit) into 2,000 Sep $35/$55 bull call spreads ($4.00 debit). Wedbush reiterated their outperform rating and a $52 price target on May 23rd. OVAS will present at Jefferies 2015 Global Healthcare Conference on June 1st.
5. Â XOMA Corp (XOMA)- 10,000 Sep $4 calls were bought for $1.10-$1.15, against open interest of 22,425 contracts. 20,000 were bought on May 8th for $0.90-$1.20. This morning, they said their Phase 3 Eyeguard study reached its target exacerbation event. Primary endpoint result due in July.
XOMA Corp (XOMA) Stock Chart
Thanks for reading.
Read more from Mitchell on his options blog.
Twitter: Â @MitchellKWarren
No position in any of the securities mentioned at the time of publication. Â Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.
