Altera Corporation (ALTR) is a semiconductor producer. The company’s stock is currently trading around $43.10 in a 52 week range of $30.47-$45.00. The stock has been relatively strong this year with shares rallying nearly 17% year to date. The stock saw a massive 28% gain last Friday on the announcement that Intel (INTC) was in talks to buy the firm. This move was very well telegraphed by some unusual options activity.
Into the close on Friday OptionHacker flagged a bullish trade in ALTR. Seconds before the stock was halted on the announcement OptionHacker flagged a buy of 3,158 Apr 36 calls for $0.35. After the trade hit the tape the stock was halted for pending news. When the stock reopened it soared higher, lifting the options with it. These options trade as high as $4.00 on Friday and are trading around $7.00 in today’s session. The trader that bought these options is currently up over $2.1 million in this trade. This is another absolute blowout winner flagged by OptionHacker.
Trade: A trader bought 3,158 ALTR Apr 36 calls for $0.35
Risk: $35 per 1 lot
If a trader would have bought 20 of these calls and held them through today they would have profited $13,300.