Shares of Keryx Biopharmaceuticals have been stagnant since plunging more than 60 percent two months ago, but one trader apparently believes that the stock will hold current levels.
optionMONSTER's detected the sale of 5,000 September 2 puts for $0.55 against open interest of 2,646 contracts, indicating that this is a new position. The activity has already pushed overall volume in the name to 5 times its daily average.
KERX is up 1.19 percent to $1.70 in midday trading, just off its session high. The drug maker plummeted from above $5 on April 2 after disappointing Phase III trials of its Perifisone oral treatment for cancer. Shares have been moving sideways since then, trading above $2 only three days along the way.
Today's put seller is betting that the stock will be above the $2 strike price at expiration on Sept. 21. (See our Education section)
More From optionMONSTER
Yahoo Inc will buy online blogging service Tumblr for $1.1 billion in cash, the company said on Monday.