Kinross Sees Unusual Call Option Trading (KGC)

Kinross Gold Corporation (NYSE: KGC) is seeing some elevated options trading today out in April.  Shares are up 1.5% at $10.74, but the action is out in the April call options in the $11 and $12 strike prices as you can see below with the strike price, volume, and open interest:

CALLS  Vol.   OpInt

$11.00 11,599   489

$12.00 16,082  1,372

When you see large contracts trading like this and a very low open interest it signals new positions being taken rather than close-outs of a prior position.  These are also not roll-out trades from March either because the $11 strike price in March has open interest of 4,259 contracts.  The $12 strike did have a large open interest in March of 14,450 contracts.

Kinross Gold’s $10.74 share price compares to a 52-week trading range of $9.96 to $18.25.  On a fully leveraged basis as of 1:45 that is worth more than 2.7 million shares.

JON C. OGG