Calls Purchased on Aeropostale Ahead of Earnings (ARO)

Shares of Aeropostale ARO are higher on the session by 4.29%, currently trading at $23.58. The stock has been moving largely lower over the past four weeks, off from recent highs near $31.00. The stock is trading below the 50-day moving average, but it sitting on historical support, at $23.00 Options traders are buying some calls on the name ahead of the company’s earnings report, which is schedule for after the bell tomorrow. The August $22.00 call was purchased 2,000 times on open interest of 55 contracts and the August $25 was sold 3,000 times on open interest of 840 contracts. While theses are both clearly opening positions, they do not appear to be linked. Aeropostale, Inc. is a mall-based specialty retailer of casual apparel and accessories. The company designs, markets and sells its own brand of merchandise principally targeting 14 to 17 year-old young women and young men.