A trader is counting on a floor in shares of Madison Square Garden Company.
optionMONSTER's tracking systems detected the sale of 2,500 September 55 puts in one print for $0.80. This is clearly a new position, as open interest in the strike was a mere 10 contracts before the trade appeared.
The put seller is looking for MSG to stay above $55 through expiration in mid-September. If the stock falls below that strike price, the trader will face the obligation to buy shares at that level. (See our Education section)
MSG is down 0.32 percent to $59.20 in midday trading. The stock has more than doubled in the last two years but has been range-bound since early May, mostly between about $57.50 and $63.
Last week the company announced that it will reopen the Los Angeles Forum arena in January after a $100 million renovation. It has not yet announced when it will report its next quarterly report.
Today's put trade makes up all of MSG's option volume so far. The name has seen just 43 contracts change hands per day on average for the last month.
More From optionMONSTER