Short post today, but an interesting trade I saw today, and shares are on a 9 day run and look to be trading like a deal stock:
DST Systems (DST) received buyout interest back in June and shares touched just below $60, but then pulled back to $50, and are now back on the move higher. Shares remain a great value at 8.8X earnings, 0.88 PEG and 7X cash flow, so an offer could come at any time. Options volume surged to more than 15X daily average as one trader sold 1,000 July $55 puts to buy 1,000 August $55/$60 call spreads for a net debit of $1.50.
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