On Thursday investors bought more than 13,000 Microsoft calls at the December 103 strike price, according to Investitute co-founder Pete Najarian. These particular calls expire on December 28th, so it’s a very short term bet that the stock moves higher before the end of the year.
The Washington-based company is the Dow’s second-best performer this year, and it’s one of only 5 components on pace to end the year with a double-digit gain.
Microsoft trades at 22.9X next year’s earnings, and yields 1.81%.
Disclosure: Pete Najarian owns Microsoft.