NutriSystem Inc. (NTRI) call options active as shares move higher

Krispy Kreme Doughnuts (NYSE:KKD) – Doughnut maker and retailer, Krispy Kreme, popped up on our scanners this morning on heavier than usual options volume. Shares in the name increased more than 10.5% during the first half of the trading session to $11.18, the highest level in more than five years. Traders positioning for shares in Krispy Kreme to extend gains during the next couple of weeks purchased in- and out-of-the-money call options in the early going on Friday. Bulls appear to have purchased upwards of 510 calls at the Jan. $11 strike for an average premium of $0.23 apiece. Call buyers make money at January expiration as long as shares in Krispy Kreme Doughnuts (NYSE:KKD) settle above a fresh multi-year high of $11.23. The Jan. $12 strike calls also attracted volume this morning, with around 150 calls changing hands at that strike for a premium of $0.05 apiece. Overall options volume on the name is greater than 5,800 contracts as of 12:20 p.m. ET, versus the stock’s average daily options volume of around 319 options contracts.

Caitlin Duffy

Equity Options Analyst

The material presented in this commentary is provided for informational purposes only and is based upon information that is considered to be reliable. However, neither Interactive Brokers LLC nor its affiliates warrant its completeness, accuracy or adequacy and it should not be relied upon as such. Neither IB nor its affiliates are responsible for any errors or omissions or for results obtained from the use of this information. Past performance is not necessarily indicative of future results.

This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities or other financial instruments mentioned in this material are not suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue. The information contained herein does not constitute advice on the tax consequences of making any particular investment decision. This material does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation to you of any particular securities, financial instruments or strategies. Before investing, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.