Are Your Investments Going to Fail You This Year?
-
Immucor Inc. (BLUD)
By Andrew Houghton and Nick Atkeson
We believe the Oscars are too limited in their scope. They fail to recognize an important art form, the horror movie genre. Our vote for the Best
Horror Movie of 2009 is “Blood: The Last Vampire.” In the movie, Saya, a half-human, half-vampire samurai preys on those who feast on human blood.
We enjoyed the movie, but with all of the blood-letting and sucking going on, the vampires could have used the services of Immucor Inc. (BLUD).Immucor is focused on serving the blood bank market. It makes blood analysis machines to identify blood properties prior to transfusion, and it
makes a variety of reagents that also serve to determine the nature of the blood.Since late August 2009, the stock has been trading essentially sideways with a slight upward bias. The total call open interest is about 3,000 contracts,
and total put open interest is about 1,000 contracts. What is attracting our attention is that almost all of the open call interest has been opened
since Jan. 15. On Jan. 15, institutional option investors purchased more than 1,000 BLUD June 20 Calls (QMQ 100619C00020000)
for $1.90. On March 1, they returned to buy almost another 1,000 BLUD June 22.5 Calls (QMQ 100619C00022500).It appears that savvy investors not only smell BLUD, but potentially taste huge option profits. We think you should follow in their footsteps.
Comments are currently unavailable. Please check back soon.