Protection Purchased on King Pharmaceuticals (KG)

Shares of King Pharmaceuticals Inc. KG ended the session higher by 1.72%, trading at $8.27. The stock has been trading largely lower over the past six months, off from highs near $13.25. Options traders were buying puts on the name today, perhaps as hedges to long shares. The August $7.50 put was purchased 1,000 times, on the offer, on open interest of just 816 contracts. This signals new, bearish positioning on the strike. Put volume was running at 4.61x the daily average. King Pharmaceuticals, Inc. is a vertically integrated pharmaceutical company that performs basic research and develops, manufactures, markets and sells branded prescription pharmaceutical products and animal health products.