Unusual Options Activity
ACE Limited (ACE)- 2,000 Nov $100 puts were sold for $3.30. They are acquiring insurance competitor, Chubb, for $28.3B in a cash and stock deal. Earnings are due out on July 21st.
ARM Holdings (ARMH)- 1,700 Oct $44 puts were bought for $1.40-$1.45. Also, there was sizable buying in the July and Aug puts (put activity was 17x the average daily volume). Shares are nearing a test of the $48 support level. Several tech stocks have saw big put buying in recent days. Earnings are due out on July 22nd.
Cypress Semiconductor (CY)- 9,000+ Sep $12 calls were bought for $0.70-$0.80. Earnings are due out on July 16th (shares have moved higher after earnings on 5 out of the last 6 reports). Yesterday, Barclays initiated the stock with an overweight rating and a $15 price target.
Swift Transportation (SWFT)- … Read More »
2015-03-18 More M&A Coming Soon From The Semiconductors? (MXIM) | More M&A Coming Soon From The Semiconductors?
More M&A Coming Soon From The Semiconductors? (MXIM)
Notes: Maxim Integrated Products is a $10B diversified semiconductor company. Along with other semis like (CY) and (ATML), it too saw unusual call buying today (plus the 2,200 purchased earlier this month). This type of activity suggests to me there is likely to be another (FSL)/(NXPI) type merger coming soon and it very well could have (CY), (MXIM), or (ATML) involved since they are in the $3B-$10B range (Freescale has a $13B market cap currently). Maxim trades at a P/E ratio of 19.16x (June16 estimates), P/S ratio of 4.27x, and a P/B ratio of 4.56x. Growth is expected to come back to the company in FY16 to the tune of 27.7% earnings growth and 7.6% top line growth. Cash holdings and short-term investments have been hovering around the $1.4B … Read More »