Shares of Advance Auto Parts (AAP) are trading higher on the session by 0.31%, at $81.04. The stock rocketed higher yesterday on news that the company had hired Blackstone (BX) to explore a sale of the company.
Despite yesterday?s 14% move, one trader thinks that there is still more room to the upside. Shortly after the opening bell the December $85/90 call spread was purchased 3,000 times for $1.10. Given the current open interest of 466 and 690 contracts, this is clearly new positioning.
Call volume is now running at 14.65x normal volume with 6,008 contracts traded.
30-day implied volatility is off 1.8% today to 33.15%, while 10-day realized vol is registering 50.33%.
Advance Auto Parts, Inc. is a specialty retailer of automotive aftermarket parts, accessories, batteries and maintenance items primarily operating within the United States.?