A call spread is looking for gains in Coca-Cola by the end of summer.
optionMONSTER systems show that a trader bought 4,500 September 41.50 calls for $0.31 and sold the same number of the September 42.50 calls for the bid price of $0.08. Both are new positions, as there was no open interest at either of those strikes.
The trader spent $0.23 to open this vertical spread , which is the maximum amount at risk. The maximum potential gain is $0.77 if KO is above $42.50 by expiration in mid-September. (See our Education section)
KO is up $0.23 to $41.12 this morning. The beverage giant was at a 52-week high of $42.57 a month ago but then pushed down to support at $38 after reporting earnings.
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