Keurig Green Mountain Went Crazy Into The Close

Shares of Keurig Green Mountain went crazy into the close today.

Shares of the K-cup maker gained more gaining more than $US9, or more than 8% in the final two hours of trade to close at $US122.07.

Theflyonthewall.com, and many on Twitter, noted an increase in call option volume in the stock.

A call option gives an investor the right to purchase a stock at a given price at a future date. The calls in question today were the June 13 expiration $US120 calls.

This table from Yahoo Finance shows the activity in Keurig options today.

Circled in red is the trading volume in the June 13 calls, which traded more than 11,000 contracts, or more than five times any other contract. These contracts expire next Friday, when the contract owners will have the right to buy shares of Keurig at $US120, regardless of the stock’s market price.

Trading in options contracts is what piqued the interest of regulators in the Carl Icahn and Phil Mickelson insider trading investigation.

On Twitter, The Street’s Herb Greenberg noted that a late Friday move like for a stock is suspicious.

Earlier this year, Coca-Cola took a 10% stake in Keurig and the stock went nuts.

Into the weekend, we’ll be keeping an eye out.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.