Today we saw a timely call purchase in CBL, an income play in QEP, and put sellers in NVTL.

Call roll in CBL- timely call purchase in CBL

CBL

Shares of CBL & Associates Inc (CBL) are up 1.0 to 18.63 today.  CBL is trading near the middle of the 52 week range.

Today paper traded 1000/1250 CBL Dec 17.5/20 call spreads for prices around .97. 

  • The ADV is 397 contracts. 
  • The OI is 2335 and 1648 contracts.

Volume went up in many blocks on several exchanges on a ratio.   There was extra selling of the 20 level calls so the print ratio is not exactly certain.  What we did see is mostly closing on the 17.5 strike and rolling up to the 20 strike. The Dec 17.5 call looked like they were bought yesterday.

  • 30-day implied volatility is 22%.   
  • 10-day implied volatility is 17%. 
  • 30-day implied volatility is trading above the 10-day realized volatility.

CBL & Associates Properties, Inc. (CBL) is a self-managed, self-administered, fully integrated real estate investment trust (REIT).The Company owns, develops, acquires, leases, manages, and operates regional shopping malls, open-air centers, associated centers, community centers and office properties.

Big time spread in QEP- looks like an income play

QEP

Shares of QEP Resources Inc (QEP) are up .24 to 32.48 today.  QEP is near the middle of the 52 week range.

Today paper traded 20957 QEP Sep 31 calls for 1.45 and 16766 QEP Dec 32 calls at 1.85. 

  • The ADV is 2147 contracts. 
  • The OI is 30994 and 22 contacts.

Volume went up in large blocks to fill.  The near term leg of the spread trade went up about a .25 over parity indicating a buyer.  The trade here is a roll with the trader most likely have a large stock position.  The yield is about 5.7% through December.

  • 30-day implied volatility is 22%.   
  • 10-day implied volatility is 23%. 
  • 30-day implied volatility is trading below the 10-day realized volatility

QEP Resources, Inc. (QEP) is a holding company. The Company operates in three lines of business: gas and oil exploration and production, midstream field services, and energy marketing.

Puts trade in NVTL- put sellers in NVTL

NVTL

Shares of Novatel Wireless Inc (NVTL) are up .19 to 2.71 today.  NVTL is trading near the middle of the 52 week range.

Today paper traded 933 NVTL Dec 3 puts at .50. 

  • The ADV is 146 contracts. 
  • The OI is 0 contracts.

Volume went up in 1 large block.  Total trade on the strike is over 3000 contracts with most of that paper hitting the bid for .50-.55 today.  IV is down 19 points in Dec so the play here is for a bounce in NVTL.  The type of volume and duration is consistent with a newsletter type trade.

  • 30-day implied volatility is 50%.   
  • 10-day implied volatility is 35%. 
  • 30-day implied volatility is trading above the 10-day realized volatility

Novatel Wireless, Inc. (Novatel Wireless) is a provider of wireless solutions for the worldwide mobile communications markets. Its range of products principally includes intelligent mobile hotspots, universal serial bus (USB) modems, embedded peripheral component interconnect (PCI) and wireless personal computer (PC)-card modems, and communications and applications software.