Terex has lit up with upside option activity again this week as the bulls remain highly constructive on the name.
OptionMonster’s tracking systems detected buying in the August 18 calls for $1.80, with more than 2,500 changing hands against open interest of 208 contracts on Tuesday. About 3,100 August 19 calls were also purchased, mostly for $1.30.
Those callslock in the price investors must pay for shares in the company, which produces cranes and heavy trucks. These options can generate significant leverage in the event of a rally, but will lose all or most of their value if the stock doesn’t move higher.