Coca-Cola Enterprises draws put sale

RELATED QUOTES

SymbolPriceChange
CCE35.79

One investor wants to kick back this summer with Coca-Cola Enterprises.

optionMONSTER's tracking systems detected the sale of 3,100 November 22 puts for $0.65 against open interest of just one single contract. The trade accounted for almost all the volume in the beverage company.

CCE fell 3.69 percent to $26.35 on Friday. It's down by more than 10 percent in the last month despite reporting strong results in late April.

Selling puts obligates the investor to buy shares for $22 if they're below that level on expiration. He or she may expect support around $23 or $24, which is where the stock bounced several times last year. If it does, the contracts will expire worthless and the trader will keep the $0.65 premium.

It also makes sense to sell puts because implied volatility has been pushing higher in the name, which means that option premiums are relatively high. (See our Education section)

More From optionMONSTER

  •  
    Recent Quotes
    Symbol Price Change % ChgChart 
    Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
    You need to enable your browser cookies to view your most recent quotes.
  • Recent Quotes News

    •  
      Sign-in to view quotes in your portfolios.

    Trading Center

    Yahoo! Finance on Facebook

    POLL

    How do you feel about the American Medical Association's decision to classify obesity as a disease?

    Loading...
    Poll Choice Options