Puts Purchased on Novatel Wireless (NVTL)

Shares of Novatel Wireless Inc. NVTL are higher on the session by 3.61%, currently trading at $6.02. The stock continues to drift lower and lower; the stock is in a three-year downtrend. Options traders are betting on further downside for the name. The January 2011 $5.00 put was purchased on the offer 3,500 times today; open interest on the strike is 1,393 contracts, signaling new positioning on the strike. Put volume is now running at 5.5x the daily average. Novatel Wireless, Inc. is a provider of wireless broadband access solutions for the mobile communications market. Its range of products include 3G, intelligent mobile hotspots, communications and applications software, universal serial bus (USB) modems, embedded peripheral component interconnect (PCI) express mini card modems and wireless personal computer (PC) card and ExpressCard modems.