CNBC Stock Blog
- Strategists on Dubai: Avoid 'Rash Moves' Now
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Surprising Options Trades in TiVo Shares
- 10 Dividend Picks For Your Portfolio: Chief Investors
- 4 Thanksgiving Week Buys For Your Portfolio: Market Pros
- There's a 'Great Chance' For a Double-Dip Recession: Strategist
- Retail Earnings and Sales to Improve in Q4: Analyst
- 4 Food Stocks to Stuff in Your Portfolio: Analyst
- S&P at 1050-1200 Trading Range Next Year: Strategist
- Art Cashin: Caution 'Growing' in Financials, Dividend Moves
MOST SHARED
- 8 Retailers that Gain During the Holidays
- Get Paid Six Figures to Wear a T-Shirt?
- Finding the Holiday's Best Buys
- Dubai Spooks Investors But May Bring Buying Opportunity
- Dubai Fallout Is a Correction, Not Another Crisis: El-Erian
- Banks Play Down Dubai Exposure, Investors Still Wary
- Longer Lines, Fuller Carts This Black Friday
- Some of Dubai World's Major Holdings Around Globe
- Longer Lines, Fuller Carts This Black Friday
- Dubai Stock Market Fear Has 'Legs': Dennis Gartman
- Obama's Emission Reduction Pledge Paints Future for Autos
- Is Super Bowl Halftime Act Too Old?
- Surprising Options Trades in TiVo Shares
- EA Sports Hopes to Pump Up Sales Through Pop-Up Locations
- 8 Retailers that Gain During the Holidays
- Farrell: What's Different On This Black Friday
- 10 Dividend Picks For Your Portfolio: Chief Investors
- Dubai Stock Selloff May Bring Buying Opportunity
- Dubai Fallout Is a Correction, Not Another Crisis: El-Erian
- Dubai's Debt Woes Signal New Era for Creditors
- Longer Lines, Fuller Carts This Black Friday
- The World's Biggest Debtor Nations
- Five Tips for Buying a Foreclosed Home
- Shoppers Hit Black Friday Sales; Budgets Pared
- Slideshow: Fantasy Christmas Gifts 2009
- EA Sports Hopes to Pump Up Sales With Pop-Ups
RSS FEED
"Fast Money" Contributor
Shares of generic drugmaker Mylan dropped for the third straight session yesterday but drew heavy upside options activity.
Mylan [MYL
Loading...
()
] fell 2.62 percent to close at $15.59. The stock is up more than 270 percent from its 52-week low of $5.75 reached in October 2008 but has pulled back in the last week.
The option activity was concentrated at the November 17 contracts, where more than 10,000 calls traded. Most of them bought for the asking prices between $0.40 and $0.45, including one large print of 3,500 calls an hour into the session, according to OptionMonster's real-time tracking systems.
Open interest at the strike was only 485 contracts, indicating that the buying represented newly opened positions, and the call volume has averaged grand total of 28 per day. Total calls at all Mylan strikes outnumber puts traded by nearly 9 to 1, a further indication of bullish sentiment in the name.
The stock would need to rise at least 12 percent by the November expiration for the calls to turn a profit.
The upside trading came a day after Mylan announced it had started selling a generic version of Sinemet, a treatment for Parkinson's disease, after recent approval from the Food and Drug Administration. Last week Standard & Poor's raised Mylan's credit rating to BB from BB-, saying that the company's outlook is stable.
___________________________
Options Trading School:
___________________________
Mylan Competes With:
Teva Pharmaceutical [TEVA
Loading...
()
]
Watson Pharmaceuticals [WPI
Loading...
()
]
___________________________
___________________________
Pete Najarian is a professional investor, CNBC contributor, regular co-host of CNBC's "Fast Money" and co-founder of OptionMonster.com.
___________________________








