Pete Najarian Sees Unusual Options Activity In Walgreens And AT&T

On CNBC's "Fast Money Halftime Report", Pete Najarian spoke about unusually high options activity in Walgreens Boots Alliance Inc WBA and AT&T Inc. T.

He said options traders are buying deep in the money calls in Walgreens. They bought the April 65 calls and Najarian explained that this could be a stock replacement strategy. He has a long position in the name.

Around 20,000 contracts of the April 37 calls were traded in the first half of the trading session in AT&T. Traders paid around $1.25 for these calls, which sets the break even for the trade at $38.25 or 5.78 percent above the current stock price.