2014-04-23 Smart Money Report (AAPL) (FB)
Smart Money Report
- AAPL- Apple is set to announce Q2 earnings after the bell tonight. Analysts are looking for $10.17 in EPS and revenue of $43.6 billion. The options market is implying a $20.10 move, or 3.80%, in either direction through Friday’s close. Call to put ratio in (AAPL) options is currently 1.28, led by a buyer of 600 July $565 calls for $7.20 each. The stock has moved lower on six out of the last seven reports.
- FB- Another big report due out tonight will come from Facebook. Analysts are looking for $0.24 in EPS and revenue of $2.4 billion. Option traders are pricing in a $6.03 move, or 9.82%, in either direction through Friday’s close. The call to put ratio in (FB) options is currently 1.79, led by a buyer of 6k May 17 $65/$70 call spreads for a $1.51 debit. The stock has moved higher on the last four reports.
- CTSH- The Oct. $45/$52.50 bull risk reversal was put on 2k times for a $0.35 debit. Volume was above the open interest in both options. Earnings are due out on 5/7. They bought the Oct. $52.50 calls and sold the Oct. $45 puts to reduce the cost of the trade.
- FIO- 5,000 May $10 calls were sold for $0.70 each, against open interest of 13,314 contracts. Earnings are due out tonight. On 4/11, 10k May $10 calls were bought for $0.65 each.
- LF- 2,250 May $7.50 puts were bought for $0.75 each, against open interest of 305 contracts. Earnings are due out on 5/5.
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