Any Other Trading Day in Bed Bath & Beyond Inc. (BBBY)

On November 2nd, 2021, Bed Bath & Beyond Inc. opened at $15.57.

Throughout the day, while watching the Unusual Whales flow, there were only a few orders that might have been considered as noteworthy or unusual, specifically while looking for volumes greater than open interest.

There were 100 contracts traded on the $16.5 strike call option, at the ask, for December 3rd, 2021.  There were also two sets of 40 contracts on the $13.5 call options, at the ask and then the bid, bought earlier in the day at 11:49:50 (11:49 AM) and then sold at 14:25:06 (02:25 PM).

In other words, there was not necessarily noteworthy or unusual options trading on Bed Bath & Beyond Inc. until...

Somebody Always Knows

When, suddenly, 3,526 contracts on the $20 strike call option were swept at the ask, dated for November 19th, 2021.  

These contracts were traded at 15:55:50 (03:55 PM):  that is 4 minutes and 10 seconds before the options market closed.  At the time Bed Bath & Beyond Inc. was trading at $16.74, meaning these contracts were approximately 119% out of the money.

After Market Close - News Reveals Strategic Collaboration Between Bed Bath & Beyond Inc. (BBBY) & The Kroger Co. (KR)

At 16:15 (04:15PM) news began to circulate that Bed Bath & Beyond Inc. would be collaborating with The Kroger Co. to sell BBBY products on KR’s website and in a “small-scale physical store pilot” in 2022.

In a press release via PR Newswire at Markets Insider, Rodney McMullen, Kroger’s CEO expressed:

"Every day, we look for new and differentiated ways and experiences to meet our customers evolving needs and elevate and celebrate the moments that matter most to our customers. As an illustration, Bed Bath & Beyond has a compelling portfolio of products that complement the items our customers already love to shop. This strategic online collaboration and in-store pilot will provide Kroger shoppers easy access to essential home and baby products alongside their favorite grocery staples – continuing to fulfill our commitment of providing our customers with anything, anytime, anywhere."

Catching Whales & Insider Action with Unusual Whales Options Alerts

At 13:39 (01:39 PM) and 15:53 (03:53 PM) the Unusual Whales Alerts tool reported two unusual options purchases on the $19.5 and $17.5 call options dated for November 19th and November 5th, 2021.

Seen above, and in spite of the aforementioned relatively calm trading day for Bed Bath & Beyond Inc. there were these unusual option bets that came through the Unusual Whales Alert tool, viewable here.

Following the Flow in Bed Bath & Beyond Inc. (BBBY)

Bullish premium has now taken control of the options flow at premiums of $30,000 or greater, at 79.2%, with 87.8% in ask-side orders, and 91.4% in calls.

Additionally, the most popular expiration at these levels are the November 12th, 2021 chains with approximately $2,176,860 bullish premium compared to $334,975 bearish premium (approximately 650% more bullish).

Comparatively, 99.7% of whales at the $1,000 premium or greater levels were in calls, due to the above activity.  

Additionally, 77% were bullish and 76.7% in ask-side orders.  The most popular date of expiration was the November 19th, 2021.

Remember:  Somebody Always Knows

Following the Unusual Whales Flow and Alerts are powerful because they allow we as retail traders to investigate the options activity during the day, in real time, to gain insight on how other traders are using options contracts to position themselves--and to see insiders trading on privileged knowledge before it was released to the public.

As of this writing (approximately 16:55 EST), Bed Bath & Beyond Inc. (BBBY) is now trading at $31.33.

For more information on unusual options activity, subscribe to the Unusual Blog or visit unusualwhales.com.