Options expiration of first week of December and not 3rd Week.
A big call spread topped yesterday's option activity in Deckers Outdoor as shares hit five-year highs.
optionMONSTER systems show that a trader bought 3,500 December 82.50 calls for $2.25, above the ask price, while selling 7,000 December 85 calls for $1.15. Previous open interest in the strikes were 33 and 66 contracts respectively, indicating that new positions were established.
This ratio spread takes in a credit of $0.05, which will be the profit if DECK remains below $82.50 through expiration in mid-December. The maximum gain would be realized with the stock right at $85 at that time. Above that level, the trader is effectively short shares. (See our Education section)
DECK rose 2.15 percent yesterday to close at $81.64 after hitting an intraday high of $83.04, both their highest levels since 2008. The footwear maker was below $60 a month ago.
You are wrong Mr. Legend. It's unusual for bios to raise capital before results. Usually, they will file the offering but hold the issue until they publish the results. SSH is actually issuing the shares. Even in the case of SRPT, even though they filed for issuing the shares before the results, they actually issued and priced the shares after the results were published.