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

HP Draws Fast Money

By Pete Najarian of OptionMonster
NEW YORK -- Hewlett-Packard (HPQ) rose with an upgrade from Barclays Tuesday, and the option trading was bullish.
OptionMonster's tracking systems show that traders were looking for a quick move because they were focused on March contracts, which expire at the end of this week. The March 30.50 calls really stood out as more than 19,000 traded with the biggest blocks priced at 24 cents, in volume that dwarfed the strike's previous open interest of just 366 contracts.
These calls lock in the price where the computer maker's stock can be purchased, letting investors cheaply position for a rally without necessarily buying the shares. The options could provide significant leverage if the stock pops in the next few days but will quickly lose value if it stalls or pulls back.
HP shares rose 3.66% to $30.56 Tuesday and are back near their 52-week highs. Barclays issued a $38 price target on the stock, which is one our top picks for 2014.
Overall option volume in the name was triple its daily average for the last month, with calls accounting for almost 80% of the total.
Najarian owns HPQ calls.

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
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
FB $118.21 0.13%
GOOG $698.83 0.45%
TSLA $215.80 -3.00%
YHOO $37.22 3.40%
AAPL $93.29 -0.35%


Chart of I:DJI
DOW 17,734.71 +83.45 0.47%
S&P 500 2,054.67 +3.55 0.17%
NASDAQ 4,726.9720 +1.3330 0.03%

Free Reports