Las Vegas Sands: The Bulls Pile In
Analysts gave Las Vegas Sands a "buy" rating recently, and traders are following that recommendation.
OptionMonster's tracking programs detected buying in the July 55 calls yesterday. The casino operator drew large purchases for $0.52, much of it in a single block.
Those contracts lock in the price where the stock can be bought no matter how far it might rise. That could provide substantial leverage if the shares rally.
LVS rose 1.32 percent to $51.38 yesterday. It pulled back from above $60 in May and traded all the way down to $48 earlier in the week.
Craig-Hallum raised its rating on the name to "buy" from "neutral" on Tuesday and said it sees the stock going back to at least $59. Nomura was also recently issued an opinion that the recent selloff provides a buying opportunity for casino companies that operate in Macau.
A little more than 40,000 options changed hands in the name yesterday, led by 29,000 calls.
—By CNBC Contributor Pete Najarian
(Najarian has no positions in LVS.)
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Pete Najarian is a professional investor, CNBC contributor, regular co-host of CNBC's "Fast Money" and co-founder of OptionMonster.com.