Shares of Leapfrog (LF) are trading lower on the session by .31 to $8.80. The stock is down from $10.34 just after it most recent earnings report.
The LF Mar 7.5 puts traded 9300x and scattered buying in the other months leave this trade as a standout.? The trader looks like they are taking advantage of the higher implied volatility to sell these options with IV up 6.5% in March and 8% in December. With the LF lower since the trade these puts have not really gone up in price indicating IV might soften.
With open interest of only 2100 contracts, this is a new position in the name.
30-day implied volatility is up from a near term low of 62% to just under 70% today.?? 10-day implied volatility has been steadily declining down to 45%.? The new put position (if sold) would create a long position under the 52 Week Low.
Leapfrog makes electronic educational games for children.