Unusual Options Activity: 10 Stocks To Watch (December 19)
It’s time to review several stocks that had unusual options activity over the last week. Although traders can never be sure why these trades take place (and who’s making them), I believe it’s important to be aware of notable options activity as an indicator for directional bias.
Here’s a weekly recap of 10 stocks that had unusual options activity and what, if any, significance these trades may have.
Unusual Options Activity: 10 Stocks With Notable Trades
TTM Technologies (NASDAQ:TTMI): 5,000 June 2017 $17.50 calls were bought for $0.65. There was follow through on Tuesday and Wednesday with open interest now at 8,151 contracts. On average, 65 calls traded per day prior to this action.
Salesforce.com (NYSE:CRM): There was a rollout from 5,000 Dec 16 $68.50 puts (credit $0.34-$0.40 credit) into 5,000 Jan 20 2017 $67.50 puts ($1.49-$1.55 debit) in Salesforce stock options. On … Read More »
Unusual Options Activity
1.TTM Technologies (TTMI)- 5,000 June 2017 $17.50 calls were bought for $0.65 vs total call open interest of just 1,663 contracts (implied volatility +11.3% to 46.99). On average, 65 calls trade per day in the $1.4B semiconductor company.
2.Ocean RIG UDW (ORIG)- 5,000 Dec $2 puts were bought for $0.15 with put activity 30 times the average daily volume. Earnings are due out on December 14th (shares dropped on the last 2 reports).
3. ILG, Inc. (ILG)- There was a rollout from 10,000 Mar 2017 $17 puts ($0.33-$0.36 debit) into 10,000 Jan 2019 $17 puts ($1.58-$1.61 credit). This trader is making a long-term bet that the leisure and travel company will remain above $17 by January 2019 options expiration.
4. Hain Celestial (HAIN)- There was a rollout from 3,000 Dec $40 calls ($0.45-$0.46 credit) into 3,000 Jan 2017 $42.50 calls ($0.80 … Read More »
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Open Interest Updates From The Previous Trading Days Action
ADT Corp. (ADT)- Mar $39 call open interest went from 5,073 to 6,823 contracts (more buying on Friday).
CABELA’s (CAB)- Mar $60 call open interest went from 1,288 to 6,842 contracts (buying on Friday).
ConocoPhillips (COP)- Apr 17 $65 call open interest went from 10,756 to 14,680 contracts (buying on Friday).
Golar LNG (GLNG)- Mar $35 call open interest went from 3,601 to 7,427 contracts (buying on Friday).
ChipMOS Technologies (IMOS)- June $25 call open interest went from 815 to 1,930 contracts (buying on Friday).
Plains All American Pipeline (PAA)- Aug $47.50 call open interest went from 9,316 to 12,316 contracts and Aug $47.50 put open interest went from 7,160 … Read More »
Smart Money Report
FSLR- First Solar is set to announce Q4 earnings after the bell. Analysts are looking for $0.98 in EPS and revenue of $961 million. The options market is implying a $5.75 move, or 10.11%, in either direction through Friday’s close. Call to put ratio in (FSLR) options is currently 1.28, led by activity in the Feb. 28 weekly $65, $70, and Mar. 22 $65 calls. The stock has declined after earnings on 4 out of the last 5 quarters.
LOW- Lowe’s will report Q4 earnings below the bell tomorrow morning. Analysts are looking for $0.32 in EPS and revenue of $11.7 billion. Option traders are pricing in a $2.03 move, or 4.22%, in either direction through Friday’s close. The call to put ratio in (LOW) options is 1.74, led by a buyer of 2k Feb. 28 weekly $48 puts, … Read More »
Consumer Discretionary (XLY): Buy On The Dip?
Here is a link to my commentary for TraderPlanet on the consumer discretionary sector–> http://www.traderplanet.com/commentaries/view/164751-consumer-discretionary-xly-buy-on-the-dip/
Smart Money Report
LOW- Lowe’s will report Q2 earnings before the bell tomorrow morning. Analysts are looking for $0.79 in EPS and revenue of $15.0 billion. The options market is implying a $1.73 move, or 3.97%, in either direction. Call to put ratio in the Aug. 23 weekly options is currently 2.14.
TOL- Another housing play that reports in the morning is Toll Brothers. Analysts are looking for $0.26 in EPS and revenue of $696 million. Options traders are pricing in a $3.15 move, or 10.02%, in either direction through September options expiration. The put to call ratio in the Sep. options is in favor of the bears at 2.20.
ERIC- A rollout from 8k Oct. $13 calls (credit) into 5k Jan. 2014 $13 calls (debit). Volume was above the open interest in the Jan. 2014 $13 calls.
GDP- The Dec. $15/$25 bull risk reversal … Read More »