The bulls have discovered PBF Energy, an oil refiner that went public a little more than a year ago.
optionMONSTER’s Heat Seeker monitoring program detected the purchase of more than 3,000 September 30 calls for $1.80. Open interest stood at just 96 contracts when the session began, so new money is clearly being put to work.
Long calls lock in the price where a stock can be purchased through mid-September no matter how far it might climb. Investors buy them rather than the shares to profit from a rally but with much less risk and the potential for significant leverage, but the contracts will expire worthless if they remain below the strike price.