Paper bought 25,000 DAL Sept 44 calls & sold 50,000 DAL Sept 50 calls for a net debit of .135.
Delta Air Lines, trading 43.67 (up .47) with an IV30 of 36.16 and an HV10 of 34.13, saw a call 1 by 2 trade.? A trader bought 25,000 of the September 44 calls paying 4.75 then sold 25,000 of the September 50 calls at 2.31 and 25,000 at 2.32.? Net the customer paid .135 to get long this large 1 by 2.? DAL has an ADV of about 30,000 contracts a day and open interest of 341k, so this is a big order relatively speaking.?
The customer is hoping DAL rallies, slowly between now and September.? If the stock moves higher toward 50 he or she is in a real position to clean up and as long as the underlying stays under 53.87 the trader will make money on this trade.
This trade should be considered mildly bullish the underlying, and aggressively short volatility in DAL.