Jon Najarian spoke on CNBC's "Fast Money Halftime Report," about stocks with unusually high options activity. BP plc BP traded sharply higher on Tuesday on the news that the company decided to cut the dividend in half.
Najarian thinks it could easily move to $25 and maybe even go towards $30. He bought the September $25 calls as he noticed a pretty big volume in the strike. They were trading at around 29 cents, which sets the breakeven for the trade at $25.29. Najarian is planning to hold it for two or three weeks.
Options traders were also buying the August $8 calls in Tilray Inc TLRY. The company is going to report earnings on Aug. 10 and the stock is trading sharply higher on Tuesday. Najarian bought the September $8 calls and he is going to hold them for a week.
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