Mike Khouw Sees Unusual Options Activity In Lululemon

Mike Khouw talked on

about a stock that caught his attention on Monday because it had higher than usual options activity.

had twice its daily trading options volume and the most active were the October 40 call options which traded around $3. The traders who bought these options believe that

is going to trade above $43 at October expiration. Khouw added that there might be something in this trade because the stock struggled recently and had double-digit growth of both revenue and EPS in the last five years. Lululemon gained 0.94 percent and closed at $40.83.