You see the news on RVBD? Something is up with the call action out of the blue today. Rumors of a buyout coming which was always expected by CSCO.
Rumors have always been that the stock would have to be put down (from $50) to a level that makes sense. Hedge funds jammed it up expecting a buyout, but the price never made sense.
Now at $14, a small premium around $20 makes sense.
But these rumors are always out there for every stock. What makes this different is the way the options are being bought going out through all next three months.
So, whatever happens will happen soon.