This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Bulls Take A Shine to Yingli Green Energy

By Mike Yamamoto, managing editor of OptionMonster

NEW YORK -- Option traders are looking for more gains in Yingli Green Energy (YGE - Get Report), which spiked higher at the end of last week.

OptionMonster's tracking systems detected heavy buying in the Chinese solar-technology company's Aug. 4 calls, where 5,558 contracts traded for $0.25 to $0.45 on Friday. The volume was 9 times higher than the strike's open interest of just 599 calls before the session began, indicating that this is fresh buying.

Yingli Green Energy's shares surged 13.25% to close the session at $3.76. The beaten-down solar sector has cooled in the last month after a big run earlier this year, but Yingli had been trading toward the upper end of its recent range leading up to Friday's jump.

Friday's calls lock in a $4 purchase price for the Yingli's stock no matter how far it might rise, but they will expire worthless if shares remain below that level through mid-August. The last time it closed above $4 was Feb. 17.

Total option volume in the name topped 9,000 contracts in the session, more than 9 times its daily average for the last month, with overall calls outnumbering puts by a bullish 10-to-1 ratio. It also saw upside call buying on June 17.

The company is scheduled to present at the Intersolar North America 2013 industry conference, which begins on Thursday.

Yamamoto has no positions in YGE.

This commentary comes from an independent investor or market observer as part of TheStreet guest contributor program. The views expressed are those of the author and do not necessarily represent the views of TheStreet or its management.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Submit an article to us!
YGE $1.82 -2.20%
AAPL $126.42 -1.80%
FB $77.57 -1.60%
GOOG $533.35 -1.40%
TSLA $231.81 0.56%


DOW 17,981.12 -89.28 -0.49%
S&P 500 2,097.46 -17.03 -0.81%
NASDAQ 4,952.7340 -64.1950 -1.28%

Partners Compare Online Brokers

Free Reports