Options Traders Think Plug Power Is Charged Up For A Move

Plug Power Inc PLUG has been a frustrating stock for bullish traders and investors with positive sentiment in the stock unable to garner enough momentum to move the share price north in any significant way.

Plug Power’s stock is trading down 62% from its Jan. 26 all-time high of $75.49. Some options traders think Plug Power’s stock is charging up for a run, however, and bet over $281,378 the stock is going higher.

See Also: Where Plug Power Stands With Analysts

The Plug Power Option Trades: Below is a look at the notable option alerts, courtesy of Benzinga Pro:

• At 9:36 a.m., Thursday a trader executed a call sweep, near the ask, of 529 Plug Power options with a $30 strike price expiring on May 21. The trade represented a $148,120 bullish bet for which the trader paid $2.80 per option contract.
• At 10:21 a.m., a trader executed a call sweep, near the ask, of 520 Plug Power options with a $29 strike price expiring on May 7. The trade represented a $93,600 bullish bet for which the trader paid $1.80 per option contract.
• At 12:14 a.m., a trader executed a call sweep, near the ask, of 251 Plug Power options with a $30 strike price expiring on May 14. The trade represented a $39,658 bullish bet for which the trader paid $1.58 per option contract.

• See also: How to Buy Plug Power (PLUG) Stock

Why It’s Important: When a sweep order occurs, it indicates the trader wanted to get into a position quickly and is anticipating an imminent large move in stock price. A sweeper pays market price for the call option instead of placing a bid, which sweeps the order book of multiple exchanges to fill the order immediately.

These types of call option orders are usually made by institutions, and retail investors can find watching for sweepers useful because it indicates “smart money” has entered into a position.

PLUG Price Action: Shares of Plug Power closed down 2% at $28.27.