(The following is an example of notable trading cited on optionMONSTER's InsideOptions Pro service yesterday.)
Coach has been struggling, and the bears are circling.
optionMONSTER's Depth Charge tracking program detected the purchase of 4,400 November 26 puts, most of which priced for $0.85. Volume was 26 times greater than average than previous open interest, which indicates new money was put to work.
Puts lock in the level where investors can unload shares. They're used to hedge long positions or to speculate on a drop. (See our Education section)
COH fell 1.66 percent to $28.45 yesterday. The seller of handbags and accessories has been under pressure since early 2012 and has lost almost one-quarter of its value so far this year. Much of that drop followed an aggressively bearish note by BB&T Capital in late May. Investors looked past a good earnings report two months ago, and the next set of numbers is due Oct. 27.
Total option volume was triple the daily average, with puts outnumbering calls by a bearish 6-to-1 ratio.
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