$PLBY bulls unfold more profits

Option traders are unfolding more profits in Playboy Enterprises (PLBY) this morning.

On Apr. 9, Market Rebellion’s UOA service showed that 2,100 May $22.50 calls were purchased for $4.92 to $5.60 with shares at $24.77, above the previous open interest of just 196 contracts.

Those calls were last marked for $37.55, at least 6 times their purchase prices. The stock rose 149.58% in the same time period, illustrating the kind of leverage that can be achieved with options.

This marks the third winning trade in the name posted on Market Rebellion in the past month.

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 higher this session, last trading at $61.82, up 3.72% and setting ew highs.