Here's some CNTO options comment. I nearly bought some yesterday after the RS upgrade and no price reaction, but ended up not doing it, alas.
Headline: US OPTIONS/Centocor (NASDAQ:CNTO) vols, volume spike up
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CHICAGO, April 21 (Reuters) - Implied volatility and volume
in options on Centocor Inc. (NASDAQ:CNTO) spiked up on Wednesday,
with call buyers flocking into the options as the stock
advanced, traders and analysts said.
Implied volatility in at-the-money options popped up to
nearly 60 percent, well above the typical mid-50-percent area,
while volume in the nearby calls more than quadrupled from its
typical levels.
"Some of the vols have spiked up to near 60," said a trader
in the options traded on the Chicago Board Options Exchange. "I
would say that (volume) is four to five times greater than its
usual level."
"Vols are definitely higher," agreed an options analyst.
"There are murmurs out there."
Volume in the calls on the biotechnology firm totaled more
than 5,300 contracts and put turnover was about 1,300 by 1250
CDT/1750 GMT. The trader said volume at that time of day
usually totaled around 1,500 options.
"There's a lot of call buying, a lot of premium being
bought," he added. "Obviously, people are hearing stuff."
At 1316 CDT/1816 GMT on Wednesday, Centocor stock traded on
the Nasdaq market was up 6-2/16 at 41-3/16.
Centocor officials were not immediately available for
comment.
On Tuesday, a BancBoston analyst raised his rating on the
company to a strong buy from long-term attractive and set a
one-year price target at $55.
On Monday, Pennsylvania-based Centocor reported a 78
percent leap in first-quarter sales.
chicago.derivatives.newsroom@reuters.com))
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