NRG Energy has been beaten down with other coal-related names for months, but one trader is looking for a rebound.
optionMONSTER's Heat Seeker system detected the purchase of 2,000 August 16 calls for $0.58 to $0.60. Open interest at the strike was 124 contracts at the beginning of the session, indicating that these are new positions.
NRG is down 1.22 percent to $15.42 in morning trading. The power producer's shares have lost 40 percent in the last year but appear to be consolidating with support above the $15 level.
The stock would need to gain roughly 7 percent in the next two months for the calls to turn a profit. Overall volume in the name is more than 4 times its daily average, with calls outnumber puts by more than 20 to 1.
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One trader apparently believes that shares of the wholesale power producer will hold current levels through early next year.
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