Options Brief: Health Net (HNT)

HNT – Health Net, Inc. – Bullish call buying commenced on the provider of managed health care services today with shares of the underlying stock trading 1.75% higher to $26.20 as of 12:30 pm (ET). Earlier shares rallied nearly 3.4% to touch an intraday high of $26.62, which is a scant $0.11 below Health Net’s current 52-week high of $26.73 attained back on January 20, 2010. Investors expecting shares to continue higher and reach a new 52-week high ahead of expiration day this month picked up approximately 1,300 calls at the June $27.5 strike for an average premium of $0.31 apiece. Call-buyers make money if Health Net’s shares surge 4.5% to surpass the average breakeven price of $27.81 by June expiration.

About Andrew Wilkinson 1023 Articles

Affiliation: Interactive Brokers

Andrew Wilkinson is the senior market analyst at Interactive Brokers Group, where he provides daily commentary and analysis on U.S. equity options trading throughout the trading day. Andrew provides webinars designed to explain option-related trading scenarios covering futures, fixed income, forex and equities.

Interactive Brokers: Interactive Brokers offers direct market access to around 80 electronic global markets from a single account. Successful traders and investors understand that superior technology and lower trading costs can result in greater returns. For 32 years we have been building direct access trading technology that delivers real advantages to professionals worldwide. With consolidated equity capital of US $4.4 billion, IB and its affiliates exceed 1,000,000 trades per day. In addition, our prudent and conservative risk policies make Interactive Brokers a safe haven for your money. Discover some of the reasons why IB, the largest independent US broker/dealer, is the professional traders' and investors' choice.

Visit: Interactive Brokers

Be the first to comment

Leave a Reply

Your email address will not be published.