Looks like a wiseguy is on to Medtronic Inc. NYSE: MDT given their purchase of 2800 + August $75 calls this morning. The buyer obviously knows something is going on and is getting in on the action ahead of time.
MDT did just file a Form 8.3 but that doesn’t seem likely to be a contributing factor to the motivation of this buyer.
Other factors in play could be the upgrade to overweight, by JPMorgan.
*Update Friday, June 20, 2014: MDT was just upgraded to BUY from HOLD, by Jefferies. Jefferies cited compelling upside from the Covidien (COV) takeover. They raised their price target on MDT to $75.
Coincidence that someone bought 2800 + August $75 calls yesterday, as reported here? I think not.
MDT raised 12 Billion Euros recently for the financing of the Covidien buyout.
Medtronic makes medical technology devices to alleviate pain, and restore health for people around the world.
Medtronic Inc. (MDT) is currently up $1.21 today, to $64.98 this morning.