2014-02-26 Smart Money Report (BIDU) (JCP)
Smart Money Report
- BIDU- Baidu will report Q4 earnings after the bell tonight. Analysts are looking for $8.23 in EPS and revenue of $9.2 billion. The options market is implying a $12.60 move, or 7.28%, in either direction through Friday’s close. Call to put ratio in (BIDU) options is currently 1.23, led by a buyer of 1k Apr. $160/$190 bull risk reversals for a $0.20 debit. The stock has moved higher after earnings on the previous two quarters.
- JCP- Another name to report Q4 results tonight is J.C. Penney. Analysts are looking for -$0.82 in EPS and revenue of $3.9 billion. Option traders are pricing in a $0.84 move, or 14.76%, in either direction through Friday’s close. The put to call ratio in (JCP) options is 1.34. The stock has moved higher after earnings on the two previous two quarters.
- CREE- 2,500 May $70 calls were purchased for $2.25-$2.40 each, against open interest of 1,101 contracts.
- ITB- A rollout from 8k Apr. $24 calls (credit) into 8k July $25 calls (debit). Volume was above the open interest in the July $25 calls.
- SPN- 5,049 Sep. $32.50 calls were sold for $1.25 each, against open interest of 1 contract.
- AAPL- Apple shares continue to trend lower, following the test of the $550 level earlier this month. The call to put ratio in (AAPL) options is 1.49, led by sizable call selling and put buying.
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