Vote of confidence in Hansen Medical
Chris McKhann | firstname.lastname@example.org
optionMONSTER's systems detected the sale of 5,000 September 2.50 puts for $0.45. The previous open interest was just 350 contracts, so this is a new position.
The put selling is a bet that HNSN will be above $2.50 at the expiration. The trader is also showing the willingness to buy the stock if assigned, but for an effective price of $2.05. HNSN has touched that level on only two very brief occasions in the last 52 weeks. (See our Education section)
This in-the-money trade essentially made up almost all the option volume in HNSN today, which is 100 times its daily average of just 50 in the last month. It was also twice the total open interest for the stock.
The medical-robotics manufacturer is up 5.2 percent to $2.42, on pace now for its highest close since June 4. Shares were at a 2012 low just above $2 in mid-June and have been running higher since, but the stock remains in a downtrend from above $4 in early February.