Linkedin Corporation (NYSE:LNKD) – Shares in online professional network operator, Linkedin Corporation (NYSE:LNKD), are rallying Thursday after the company announced yesterday it has reached 200 million members. The milestone marks an increase of more than 13 million members since its last announcement on November 1, 2012, according to a statement on the company’s website. LinkedIn shares jumped 5% to an intraday high of $119.37 at the start of the session after the stock was rated new ‘outperform’ with a price target of $133.00 at CLSA. Options traders snapping up weekly call options on Linkedin Corporation (NYSE:LNKD) this morning are positioned to profit should the price of the underlying extend gains in the near term. The Jan. 11 ’13 $120 strike calls are the most active of the weekly contracts with one full trading session remaining to expiration. Upwards of 2,500 $120 strike calls changed hands before midday on the East Coast, and it appears most of the contracts were purchased for an average premium of $0.49 each. Call buyers stand ready to profit at expiration this week should shares in LinkedIn rally above the average breakeven point at $120.49. Bullish positioning on the stock spread to the Jan. 18 ’13 $125 strike, where roughly 400 calls were purchased for an average premium of $0.31 apiece. Traders long the $125 strike calls that expire next week may profit in the event that shares rally another 5% to surpass $125.31. Shares in the name last traded above $125.31 in mid-September 2012 when the stock reached an all-time high of $125.50 on an intraday basis.
Equity Options Analyst
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