A trader apparently believes that any potential downside is limited in Energy Transfer Equity with shares near all-time highs.
optionMONSTER systems detected the sale of 2,500 ETE March 42.50 puts within a few seconds this morning, with almost all of them trading for the bid price of $0.75 on a wide bid/ask spread. The previous open interest was just 143 contracts, so this is clearly new positioning.
The put selling is betting that ETE will hold above $42.50 in the next month. If the stock falls below that strike price, the trader will be on the hook to buy shares at that level.
— Option Monster