Options News
$LVS calls hit jackpot again
Bullish traders nearly tripled their money in Las Vegas Sands today. On Nov. 20, Investitute’s tracking systems found that 2,500 Weekly $52 calls expiring on Dec. 7 were purchased for $1.24 as part of a bullish roll with shares at $49.86. This was clearly a new position, as open interest in the strike was only […]
Bullish traders nearly tripled their money in Las Vegas Sands today.
On Nov. 20, Investitute’s tracking systems found that 2,500 Weekly $52 calls expiring on Dec. 7 were purchased for $1.24 as part of a bullish roll with shares at $49.86. This was clearly a new position, as open interest in the strike was only 633 contracts before the activity appeared.
Those calls ended today’s session trading for $3.50, almost 3 times their purchase price. The stock rose 9.49% in the same time frame, showing how quickly options can far outperform their underlying shares. It was the second winning trade in the name posted on Investitute in the last four sessions.
Long calls lock in the price where investors can buy a stock, letting them position for a rally at limited cost with the potential for significant leverage. They carry less risk than owning shares because the most that can be lost is the price of the options no matter how far the stock might fall.
LVS jumped 7.29% to $54.44 today. On Nov. 15, Bernstein initiated coverage on Las Vegas Sands with an “outperform” rating and a $65 price target as part of a bullish note on several casino operators.