Rough day for MEMC Electronics (WFR) shareholders, as the stock tanks 67 cents, or 12 percent, to $4.76 on first quarter and 2013 guidance for semi rev, solar shipments. On the options front, one player sold 20,600 July 5 calls on the stock, down to 58 cents per contract, and probably liquidated a position opened mid-Feb when the same contract was being bought for 80 cents (see 2/14 color). March 5 calls, which expire later this week, are the second most active in WFR today. 14,454 traded against 13,213 in open interest. Total volume is 42,000 calls and 4,750 puts. Implied volatility is up 14 percent to 75.
About the Author (Author Profile)
Frederic Ruffy is a well-known trader, writer, and strategist who has spent years educating investors and creating intelligent, insightful, unbiased market observations that are frequently cited by the Wall Street Journal and other financial publications. As senior analyst, Fred provides frequent and regular notes and daily updates for activity of interest.