Trader Doubles Quickly on GoPro Inc (GPRO) Call Options
Yesterday, a trader telegraphed a rally in GoPro Inc (GPRO) shares with their call buying spree. We wrote about that buy here. There’s been more action in the October $55 calls today.
But before we get to that, as we wrote yesterday, a trader bought 1,000+ September $49 GoPro Inc (GPRO) calls just after 11 am yesterday. That trader paid $1.45. As of 1:45 pm today, those calls are now at $3.30 bid, and $3.70 ask. So that traders “bet” is already worth more than double yesterday’s investment. But we don’t think that they’re locking in any profits just yet. (We are however)
In addition to those Sept $49 calls, there were almost 2,000 of the Jan $50 calls bought as well. These were opening positions. As we mentioned, there was another small call buy this morning. This time a trader bought 820 of the GPRO October $55 calls. It’s clear the stock was undervalued, and that is certainly confirmed by these unusual call buys.
Today, GoPro Inc (GPRO) surged right at the opening to an all time high of $51.75 before selling off a bit. This afternoon it’s off to the races again, currently trading at $51.47 on volume of 7.24 million shares, twice it’s average daily volume already today.
Clearly this was a stock that was beaten down to a value play and now it’s bouncing up to new highs, likely through the New Year.
We did get into those Jan $50’s and also the October $55’s.
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