WWE Options Traders Bet On Stock Rallying By This Much By July Expiration

World Wrestling Entertainment, Inc. WWE shares gained on Wednesday after reports the company was sold to Saudi Arabia's Public Investment Fund. The stock gave back gains following reports indicating there is no deal for the company to be sold to Saudi Arabia's Public Investment Fund.

On Tuesday, WWE announced management changes. The WWE board unanimously elected former CEO Vince McMahon as executive chairman.

On CNBC’s "Options Action," Brian Stutland of Equity Armor Investments said WWE traded at 6x average daily volume on Wednesday.

Don’t forget to check out our premarket coverage here

There was a buyer of 3,000 of the July 120-calls at an average price of $1.25 per contract, Stutland mentioned.

The trader expects WWE’s stock to surge at least 34% by July expiration.

Price Action: Shares of WWE fell 0.8% to close at $89.50 on Wednesday, and lost another 0.6% in the after-hours trading session.

Check This Out: Top 5 Financial Stocks That May Plunge

Photo via Shutterstock.