GameStop hit a multi-year low yesterday, but one trader is betting on a floor beneath the beaten-down stock.
optionMONSTER's systems detected the sale of 18,166 July 16 puts in a single print for $0.40. The volume was that strike was 5,148 at the beginning of yesterday's session, so this is a new position.
GME fell 2.04 percent yesterday to close at $17.74, continuing its steady downtrend since trading above $25 in late March as the game retailer struggles with online competition. Earlier in the session it dipped to $17.39, its lowest intraday price since hitting $17.12 in February 2010.
Yesterday's put seller is wagering that GME will be above the $16 strike price upon expiration on July 20. The stock has not traded below that level since January 2006. (See our Education section)
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