A Weight Watchers International Inc. options investor earned a three-day paper profit of about $8.2 million after the stock surged the most ever today following the companyâs higher-than-estimated forecast.
A block of 4,273 February $45 calls was purchased for 95 cents each on Feb. 14, when the stock closed at $44.08. Calls give the right to buy 100 shares, meaning the contracts cost about $400,000. The Weight Watchers calls jumped 1,397 percent to $20.21 at 4 p.m. New York time today, driving their value up to $8.6 million.
http://www.bloomberg.com/news/2011-...on-trade-makes-7-8-million-in-three-days.html
A block of 4,273 February $45 calls was purchased for 95 cents each on Feb. 14, when the stock closed at $44.08. Calls give the right to buy 100 shares, meaning the contracts cost about $400,000. The Weight Watchers calls jumped 1,397 percent to $20.21 at 4 p.m. New York time today, driving their value up to $8.6 million.
http://www.bloomberg.com/news/2011-...on-trade-makes-7-8-million-in-three-days.html
