Smart Money Report

1. DMND- Diamond Foods will report Q3 earnings after the bell tonight. Analysts are looking for $-0.17 in EPS and revenue of $341 million. This morning someone bought 3,000 June $17 calls for $0.50-$0.65 each, against open interest of 1,431 contracts. The options market is implying a $1.85 move, or 10.85%, in either direction through June options expiration.
2. LULU- The biggest earnings report of the night will come from Lululemon Athletica. Analysts are looking for $0.30 in EPS and revenue of $341 million. Options traders are pricing in a $6.05 move, or 7.40% move, in either direction into Friday’s close. The put to call ratio in the June 14 weekly options is currently 1.32.
3. MON- The Oct. $80/$95 put spread was put on 2,500 times for a $1.83 debit. Volume was well above the open interest in both options. Monsanto shares are up over 4% today, after it was raised to Outperform from Neutral by Macquarie.
4. WU- 2,500 Jan. 2014 $20 calls were purchased for $0.30 each, against open interest of 1,622 contracts. Shares of Monsanto are 0.84% ahead of Wednesday’s ex-dividend. The $0.125 dividend will be payable on Friday, June 28th.
5. AAPL- Apple shares ended the day near the lows of the day, following the highly anticipated World Wide Developers Conference in San Francisco. The call to put ratio in the June 14 weekly options remains high, just under 1.85.

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