Thursday, October 22, 2009

Cephalon Options Jump (CEPH)

Cephalon Inc. (NASDAQ: CEPH) is active in the first hour of trading. There was a buyer of 15,000 December $60 calls at the mark with shares at $54.63 and headed higher, potentially  benefiting  from the bullish earnings report at Celgene (CELG).  Cephalon is scheduled to report earnings on October 27th and shares are very cheap at 8.5X earnings and 2.8X cash value.  The 11.7% short float is also attractive.  Shares are bouncing off a potential double bottom at $52.50, a major support level on the charts.

-Brought exclusively from OptionsHawk.com


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