$CPB bulls triple money overnight

Option traders have racked up quick, exponential gains in Campbell Soup (CPB) for the second session in a row.

Just yesterday afternoon, Market Rebellion’s Unusual Activity programs flagged the the purchase of 3,750 Weekly $49 calls, expiring tomorrow, May 7, for $0.20 with shares at $48.62. Volume was clearly above the previous open interest of 316 contracts, indicating that this was a new position.

Those calls have just traded for $0.75, nearly 4 times their purchase price. The stock rose 2.24% in the same time period, a large move for the time frame but nowhere near that of its options.

This marks the second winning trade in the name posted on Market Rebellion in the past 24 hours.

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.

CPB was last up 1.01% today at $49.35.