2014-06-12 Smart Money Report (AAPL) (MU)
Smart Money Report
- AAPL- The Apr. 2015 $110/$130 call spread was put on 10,000 times for a $1.91 debit. This was tied to 161,600 shares of stock for $92.63. Volume was above the open interest in both options. Apple trades at a P/E ratio of 13.41x (2015 estimates) with 8.9% EPS growth, 6.8% revenue growth, 2.04% dividend yield, and has an average analyst price target of $95.
- BRCM- 26,589 Aug. $41 calls were sold for $0.57 each, against open interest of 189 contracts. Broadcom recently announced that they are interested in selling their cellular broadband business.
- MU- The Oct. $35/$40 call spread was put on 6,000 times for a $0.91 debit. Volume was below the open interest in both options. Earnings are due out on 6/23. The stock has moved lower after earnings on five out of the last seven reports.
- RIG- 15,000 Jan. 2015 $38 puts were sold for $1.59 each, against open interest of 4,830 contracts. Transocean has consistently made higher lows since the March March bottom. Above the $44 the stock has upside potential to the January highs. The trader is making a bet that the stock won’t breach the March lows. (RIG) has consistently made higher lows since the March bottom. Above the $44 level the stock has upside potential to the January highs.
- USO- 5,500 Jan. 2015 $39 calls were bought for $1.80 each, against pen interest of 3,228 contracts. The oil ETF hit a new high for the year in today’s session.
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