$PLBY bulls score more profits

Option traders are scoring more profits in Playboy Enterprises (PLBY) this afternoon.

On Apr. 1, Market Rebellion’s UOA service showed that 2,500 April $25 calls were purchased for $1.25 to $2.70 with shares at $22.20, above the previous open interest of just 1,435 contracts.

Those calls sold for $19.52 today, at least 7 times their purchase prices. The stock rose 99.32% in the same time period, illustrating the kind of leverage that can be achieved with options.

This marks the second winning trade in the name posted on Market Rebellion this week.

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.

PLBY is lower this session, last trading at $40.33, down 5.28%.