Sarepta Therapeutics tripled yesterday, and traders anticipate another 50 percent of upside.
optionMONSTER’s Heat Seeker monitoring system detected the purchase of about 2,300 November 40 calls for an average premium of about $8. A similar number of November 60 calls were sold at the same time for roughly $1.15. Volume was more than 5 times open interest at each strike, indicating that new money was being put to work.
SRPT is down 9.37 percent to $40.72 in morning trading. It leapt from under $15 to almost $45 yesterday after reporting positive early-stage drug trial data for its compound to treat Duchenne muscular dystrophy, an incurable disease affecting about one of every 3,600 boys.
— Option Monster