Options Brief: Advanced Micro Devices (AMD)

Source:wallstreetpit.com
AMD – Advanced Micro Devices, Inc. – The purchase of a debit put spread on semiconductor manufacturer, Advanced Micro Devices, Inc., today is perhaps the work of an investor bracing for limited erosion in the price of the underlying shares through July expiration. AMD’s shares are up 3.7% to $8.42 as of 12:25 pm (ET).

It looks like the options trader purchased 6,000 in-the-money puts at the July $9.0 strike for an average premium of $0.99 apiece, and sold the same number of puts at the lower July $8.0 strike for an average premium of $0.41 each. The net cost of the spread amounts to $0.58 per contract.