TAL International Group, Inc. (TAL) is an equipment leasing company that leases containers and chassis to shipping lines and other customers. The company’s stock is currently trading around $42.20 in a 52 week range of $38.50-$57.82. The stock has not been performing well this year and shares have fallen nearly 27% year to date. Despite this poor performance we are seeing some very bullish activity in TAL options during today’s trading session. This morning a trader sold 4,148 TAL Mar 42.5 puts for $0.93. This is a very bullish trade involving a high level of risk meaning this trader’s level of bullish conviction is relatively high. While this is an aggressive trade we believe TAL set up well for a long at these levels.
Trade: I bought 1,500 Shares of TAL at $41.61
Stop: $41.61
Targets: $42.35 and up every $0.25