This Day On The Street
Continue to site
ADVERTISEMENT
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 Return to Cole Real Estate

 
 
By Pete Najarian of OptionMonster
 
Cole Real Estate (COLE) saw upside option activity last week and the bulls came back Thursday.

This time the traders were targeting the November 12.50 calls, paying 35 cents for 10,816 contracts, according to optionMONSTER's Heat Seeker tracking system. They also sold 5,408 November 15 calls for 5 cents5 to lower the cost of the purchases in exchange for capping potential gains.
 
Long calls lock in the price where the stock can be bought. So if the shares continue to climb, the value of the options can really spike on a percentage basis because they cost so little in the first place.
 
Cole shares rose 1.46% to $12.53 Thursday, an all-time closing high. The company, which owns more than 1,000 commercial properties, reports third-quarter results on Nov. 5.
 
More than 17,000 calls traded against just 20 puts, a reflection of the session's bullish bias. Total option volume was 26 times greater than average.
 
On Oct. 9, traders bought the March 12.50 calls for 58 cents.
 
Najarian has no positions in COLE.

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
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $124.75 0.00%
FB $80.78 0.00%
GOOG $524.05 0.00%
TSLA $206.79 0.00%
YHOO $44.45 0.00%

Markets

DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports