Investor stays with Hasbro at highs

optionMONSTER

One big investor apparently thinks that Hasbro is ready to undo its big selloff in 2011.

optionMONSTER's Heat Seeker monitoring system detected the purchase of about 13,000 July 42.50 calls for $1.05 and the sale of an equal number of February 40 calls for $0.30. Volume was below open interest in the February contracts but not the July options, indicating that an existing position was closed and rolled forward in time.

The trade cost $0.75 and gives the investor an additional five months to benefit from gains in the Rhode Island-based toy maker. Without the adjustment, the investor would have been at risk of losing value quickly on the February contracts because of expiration this Friday. (See our Education section)

HAS slipped 0.38 percent to $39.69 yesterday but is up 11 percent so far this year. Earlier in the session, the stock traded above $40 for the first time in 19 months. Its performance has been improving recently as it wins market share and improves profitability.

Total option volume was 11 times greater than average in the session, according to the Heat Seeker. Calls outnumbered puts by 31 to 1.

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