Bulls like Broadridge before earnings
Mike Yamamoto | [email protected]
optionMONSTER's Heat Seeker system detected bullish trading in the September 30 calls, where more 1,341 contracts changed hands above previous open interest as premiums rose from $0.35 to $0.55. The calls made up almost all of the day's option volume in BR, which saw only 4 puts trade.
These long calls, which lock in the price where traders can buy shares, are looking for Broadbridge to rally above $30 by mid-September. But if BR remains below that level, the options will expire worthless unless they are sold before then. (See our Education section)
BR fell 0.72 percent to $28.98 yesterday, not far from an all-time high of $29.88 reached a week ago. The financial-technology services company, which rarely sees unusual option trading, is scheduled to announce quarterly results today before the market opens.