Eleventh-Hour Traders Swarm Chipotle Mexican Grill, Inc. (CMG)

Chipotle Mexican Grill, Inc. (CMG) is seeing tons of activity in the weekly 4/10 option series

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Published on Apr 10, 2015 at 1:50 PM
Updated on Apr 20, 2015 at 5:32 PM

Chipotle Mexican Grill, Inc. (NYSE:CMG) is up 4.7% this afternoon at $682.82, but remains slightly lower year-to-date. Meanwhile, last-minute options traders are extremely active -- especially on the call side, where intraday volume quadruples what's expected.

Specifically, the weekly 4/10 series of options is stealing the show, with each of the top five strikes expiring at today's close. In the lead is the weekly 4/10 690-strike call, which speculators are buying to open in the hopes CMG will topple $690 by tonight's close, when the series ceases trading. Others are selling to open the weekly 4/10 675-strike put, expecting the restaurant stock to maintain its foothold atop this level over the next two hours.

Taking a step back, Chipotle Mexican Grill, Inc. (NYSE:CMG) calls have been strongly preferred over puts, among options with a shelf-life of three months or less. The equity's Schaeffer's put/call open interest ratio (SOIR) of 0.86 ranks below 99% of comparable readings from the past year, suggesting the current call-focus among short-term traders is more pronounced than usual.


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