The Options Insider

BBBY Call Spreads Trade with Puts

by | May 23, 2016 | Unusual Activity

4000 BBBY Jun10 43.5/45 call spreads and BBBY Jun 10 40 puts went up in 3 blocks on the AMEX

BBBY

Shares of the Bed Bath and Beyond Inc. (BBBY) are up .13 to 42.80.? BBBY is near the low end of the 52 week range.

  • Paper traded 4000 BBBY Jun10 43.5/45 call spreads and BBBY Jun 10 40 puts for .81/.26 and .27.?
  • The ADV is 4122 per day.?
  • The OI is less than 100 contracts.

The volume went up in 3 blocks on the AMEX.? This trade as priced looks like a long call spread with a short put.? The trader is drawing the line in the sand for just over $40 but adding a bit of upside.? The trade really is about taking the stock around $40.

  • IV 30 is trading 31%.?
  • HV10 is trading for 31%.?
  • IV 30 is trading below the HV 10.

Bed Bath & Beyond Inc. and subsidiaries is a retailer selling an assortment of domestics merchandise and home furnishings, which operates under the names Bed Bath & Beyond, Christmas Tree Shops, Christmas Tree Shops andThat! or andThat!, Harmon or Harmon Face Values, buybuy BABY and World Market, Cost Plus World Market or Cost Plus.