Put Buyer Preps for Downward-Facing Shares in Lululemon Athletica Inc (LULU)’s Future

Yandex NV (NASDAQ:YNDX) – Shares in Russian search engine operator, Yandex, are getting hammered today, down roughly 10% on the day at $20.27 as of 1:15 p.m. ET. Call options changing hands on YNDX this morning suggest one or more traders are positioning for a rebound in the price of the underlying, perhaps following the company’s first-quarter earnings report next Thursday. The most active options as measured by volume on Yandex today are the May $23 strike calls, with more than 2,600 lots in play versus open interest of 919 contracts. Time and sales data indicates most of the calls were purchased at an average premium of $0.46 each earlier in the session. Call buyers make money if shares in YNDX jump 16% over the current price of $20.27 to surpass the average breakeven point on the upside at $23.46 by expiration next month.

Caitlin Duffy
Equity Options Analyst

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