| | | Stocks succumb to late-day selling
Not SIMO! Up 8.5%, and up after hours.
Take that market!
OT - About two weeks ago there was a bizarre massive trade in SIMO options. The June $50 SIMO call traded over 12,000 contracts, which represents the right to buy over 1.2 million shares of SIMO at $50. SIMO was about $45 at the time.
1.2 million shares is a huge number for little SIMO. SIMO only has 35 million shares outstanding. I had seldo seen 100 contracts trade on SIMO strikes in a single day, 12,000 is mega.
What could cause someone to take such a position? All I can think is someone knows of an impending acquisition of SIMO, or someone knows that Ali Babba (SIMO customer which is expanding procurement of SIMO's Shannon product line) will be 5x or 10x expectations in the June Q, and that that news would leak out by the June expiration.
So SIMO is up more than $5 in the last two days, and up again after hours. Maybe something is going on, maybe not, but there's still a 12,000 open interest June $50 call contract sitting there making the seller sweat. |
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