$JCI bulls double money

Option traders are racking up big profits today on upside positions opened in Johnson Controls (JCI).

On Feb. 17, Market Rebellion’s proprietary programs found that 9,867 July $50 calls were bought for $7.10 as part of a bullish roll with shares at $55.04. Open interest in the strike was only 631 contracts before the trades occurred, showing that these were new positions.

Those calls were last marked for $15.60, at least over double their purchase price. The stock has gained 19.22% at the same time, a large move but still nowhere near that of its options on a relative basis.

Long calls lock in the price where a stock can be purchased, gaining with a rally and providing leverage to the underlying shares. The contracts can quickly lose value if the stock stalls or pulls back but also carry less risk than owning the shares themselves.

JCI was last up 1.16% at $65.62. The fire, HVAC and security conglomerate topped earings expectations and raised guidance last week during its earnings report.