Silvercorp shares closed at $7.25, up 3.28 percent, so the calls were in the money. They lock in $6 as the entry price on the shares.
If Silvercorp rallies, these contracts will deliver some major leverage to the upside, but they can also lose value in a hurry if it falls. The April 7 calls also found a few buyers.
The company engages in the acquisition, exploration, development, and operation of silver mineral properties in China and Canada. It's been stuck between $6 and $10 since late August, and those call buyers are betting that it's time for the stock to break out.
More than 8,700 options contracts traded on Friday versus its daily average of about 2,900. Calls outnumbered puts by 5 to 1.
—Najarian has no positions in SVM.
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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.