Bulls buy Jabil Circuit before earnings
Traders are bullish on Jabil Circuit ahead of quarterly results this week.
optionMONSTER's market scanner shows that about 2,300 October 23 calls were purchased for $0.90 to $1.15 today. This represents fresh buying, as volume is more than 18 times the open interest in the strike.
Long calls lock in the price where investors can buy stock, allowing them to profit from a rally with limited capital at risk. Their cheap cost can also generate significant leverage on a percentage basis if shares move in the right direction. (See our Education section)
JBL is up 2.74 percent to $23.09 in morning trading and and risen 19 percent in the last three months. The chip maker is scheduled to report earnings after the close on Wednesday.
Overall option volume in the name is 5 times greater than average so far today. Calls outnumber puts by a bullish 18-to-1 ratio.
More From optionMONSTER
