Wright Medical (WMGI) options were extremely active Tuesday with a few large trades hitting midday. A block of 3,000 November $17.50 calls was sold-to-close at $1.35. The position was apparently rolled into a longer term bullish position as the trader sold 3,000 May $15 puts at $1.10 and bought 3,000 May $20 calls at $1.70 in a bull risk reversal.

There is a large gap for Wright Medical to fill on the chart from $18.30 to $20.84 from February. The maker of reconstructive joint devices trades just 4.5X cash and at a market cap of $700M it could become a target for Zimmer (ZMH) or Stryker (SYK) looking to add growth, as WMGI grew earnings 225% this year, and forecasts 27% growth next year. The Company recently expanded product lines into ankle and foot surgeries, and also received FDA clearance for a bone graft substitute, a large growing market. Wright Medical looks to be a great play longer term.