Hey Traders,
What’s better than one Big Money trade?
Two!
And what’s even better than that?
How about three Big Money moves … on the same stock … on the same day!
This name has been getting a LOT of Big Money attention …
And it seems like on Friday, Big Money was getting especially charged up over this EV power play …
ChargePoint Holdings (Ticker: CHPT) has been the target of quite a few Big Money moves as of late …
But Friday saw a triple-whammy that really caught my eye.
CHPT spent weeks trending lower, before hitting a low of $8.50 in mid-May, and tentatively beginning to creep higher …
The EV charging stock recently reported mixed earnings on Tuesday, May 31, with revenue up 102% year-over year, as expenses rose nearly 83%.
The shares took a bit of a dive over the two sessions following earnings, but it seems like CHPT has once again resumed its journey higher:
But … what next?
Is the transition to EV’s “inevitable,” as CHPT itself says?
And even if it is, will CHPT be a beneficiary?
It looks like at least some Big Money traders think there’s more room to run for CHPT.
On Friday, as the shares added 4.8% to their recent gains to close at $14.57, we saw three roll out and up trades cross the tape in CHPT’s pits.
First, one trader closed 60,000 June 10th 14-strike calls for $0.57, and opened the same number of July 15-strike calls for $1.04.
This massive roll cost the trader an additional $2,820,000, and is looking for CHPT to top the breakeven price of $15.47 by July expiration – which would require CHPT to tack on a little over 6% over the next seven weeks.
Two minutes later, an identical trade went through with 30,000 blocks of the June 10th 14-strike calls closed for $0.58, and the July 15-strike puts were opened for $1.05!
If this is the same trader, this additional adjustment required an additional outlay of $1,410,000, and is looking for the same breakeven price of $15.47.
And don’t think that Big Money is looking for a July one-and-done pop …
A little over two hours later, another trader closed 59,832 contracts of the July 20-strike calls for $0.37, and opened the same number of August 22-strike calls for $0.49.
This adjustment comes in a little cheaper at $717,984 … but it requires CHPT to move more than 51% by August expiration!
If these Big Money players are right …
CHPT could be getting ready for a hot summer on the charts!
Now … are these trades I would piggyback?
There’s only one way to find out the answer to that …
And that’s by joining me in Big Money Flow.
Your Only Option,
Mark Sebastian