Restaurants
McDonalds Corp (MCD) $93.88 +1.93%
Look for call volume in McDonalds to spike today in anticipation of shares trading ex-dividend (70c/shr) tomorrow. While MCD normally ranks 72nd among all listed single stocks, today’s call volume will likely approach a million contracts since more than 46,000 calls qualify for early exercise. Last quarter exdiv call volume in MCD topped 1.14Million contracts [...]
Krispy Kreme Doughnuts Inc (KKD) $6.68 +5.70%
Krispy Kreme is seeing Notably bullish option flow in front of Wednesday’s post-close earnings release. 3700 calls on the tape by 11am (vs 3 puts) and the focus is on the Dec 7.5 strike, where buyers have paid up to 30 cents to open new positions struck about 12% above current spot. Front term ATMIV [...]
Wendys Company (WEN) $5.47 -0.73%
Wendy’s (WEN) loses a nickel to $5.46 and one player sells 7000 Jan 5 puts on the fast food chain at 21 cents per contract. The position looks opening and tied to stock at $5.5, delta neutral. Separately, a sweep of 5000 Jan 6 calls traded on the stock for 20 cents when the market [...]
Wendys Company (WEN) $5.49 -0.18%
Wendys call volume is heavy early Monday, with 2600 contracts trading in the first 15min, or twice the avg full-day call volume in the name) vs zero puts as shares trade near flat at 5.49. Premium sellers are driving the activity, with a sweep seller of 946 Dec 5 calls at 50cents, and a seller [...]
Starbucks Corp (SBUX) $44.32 +7.05%
Starbuck’s (SBUX) is up $2.81 to $44.21 and one strategist sells 7700 April 43 puts on the stock at $3.80 to buy 11400 April 39 puts for $2.45, creating a 2X3 put ratio back spread for a 25-cent credit. Position looks opening and a bet that shares will either 1) hold above $43 and the [...]
Krispy Kreme Doughnuts Inc (KKD) $7.28 +6.12%
Mmmmmm donuts… Krispy Kreme call volume of nearly 3700 contracts (vs 50puts) is well above average for the name and is dominated by Feb 5 calls, currently 32% in the money and trading for an avg price near $2.48. Buyers are opening and may be implementing a stock replacement strategy as shares (and implied vols) [...]
Dominos Pizza Inc (DPZ) $32.29 -0.77%
Domino’s (DPZ) loses 21 cents to $32.33 and it looks like a Dec 32 straddle is sold-to-open on the stock at $2.95, roughly 2500X on AMEX. More than 3,300 traded in both contracts and does not appear to be tied. Implied volatility in Domino’s options is easing 3.5 percent to 31, compared to a 52-week [...]
Yum Brands Inc (YUM) $52.61 +3.10%
A Large block of out of the money calls on Yum brands traded late in the day, as a trader sold 27500 Jan 55 calls for 2.20 vs 52.75 stock on a 41delta. May close part of a strangle opened last April when shares were at nearly the same price (try /color Yum and use [...]
Dunkin Brands Group Inc (DNKN) $28.15 -0.95%
Dunkin Brands (DNKN) loses 32 cents to $28.11 and one strategist sells 365 Nov 30 calls at $1.36 to buy the Nov 20 – 25 call spread at 91 cents, 365X. The three-way trades 500X and appears to be a new bearish position in the name.
Starbucks Corp (SBUX) $40.37 +2.23%
Starbuck’s (SBUX) adds 94 cents to $40.42 and the top options trade on the stock today is a 3560-contract block of Oct 40 puts at $1.59 on ISE when the market was $1.59 to $1.62. Sentiment data indicate a customer sold-to-open. 5,035 now traded against 2,540 in open interest. Oct 40 puts on SBUX are [...]
