Verigy Attracts Call Buyers (VRGY)

Shares of Verigy Ltd. VRGY are higher on the session by 2.45%, currently trading at $7.96. The stock has been moving largely lower over the past six months, off from a recent high near $13.00. Options traders are buying calls on the stock today, perhaps betting that shares may be at a short-term bottom. Earlier in the session the February 2011 $10.00 call was purchased 1,000 times, on the offer, for $0.30; open interest on the strike is 1,888 contracts. This very well could be short calls being closed out. Call volume is now running at 8.61x the daily average with 95% of all calls traded being purchases on the offer. Verigy Ltd. designs, develops, manufactures and sells advanced test systems and solutions for the semiconductor industry. The company offers a single platform for each of the general categories of devices being tested: its V93000 Series platform, designed to test System-on-a-Chip, System-in-a-Package and high-speed memory devices; its V6000 Series platform, which is the successor to the V5000 platform, designed to test both flash memory and dynamic random access memory devices, and its V101 platform, designed to test devices, such as 4, 8 and 16-bit micro-controller units. For more great research like this, as well as how to play it through options…please visit Benzinga's Options & Volatility Edge and Benzinga's Cash Generator.