December Options Trades

Below is a list of some unusual options activity by day for December (starting on December 12th). The data is the beginning of my nightly research for my own personal trading and acts as a rough draft for my weekly unusual options activity posts for SeeItMarket.com. For the most part I typically won’t make note of many ETF/index trades, stock replacements, and shorter-dated activity that I feel has already played out or now offers unfavorable odds. You can follow me on Twitter and Stocktwits for more investing research.

December 12th
1. TTMI- Buyer of 5,000 June 2017 $17.50 calls for $0.65, average daily call volume of 65 contracts, call OI of 1,663 contracts, IV +11.3% to 46.99, call to put ratio of 21:1
2. ORIG- Buyer of 5,000 Dec $2 puts for $0.15, put activity was 30x the average daily volume. Earnings are due out on December 14th … Read More »

Unusual Options Activity Report: TSO, AMD, DAL, & More

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

Monday

BioCryst Pharmaceuticals (NASDAQ:BCRX) – 5,000 Mar 17 2017 $10 calls were bought for $2.00. The $472M biotech company is expected to have Phase 2 data results on BCX7353 – APeX-1 (used to reduce or eliminate attacks in HAE patients) due out in the first quarter of 2017. On December 16th, JMP Securities upgraded the stock to outperform with a $10 price target.

Grupo Televisa (NYSE:TV) – Roughly … Read More »

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

Monday

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

Barnes & Noble (BKS)- The Sep $24/$26/$30 bull call spread risk reversal was put on 1,840 times for a $0.55 debit. A trade like this one involves buying the Sep $26/$30 bull call spread and selling the Sep $24 puts for even smaller debit (requires margin). Harper Lee’s “Go Set A Watchman” set a one day sales record recently.
Mondelez International (MDLZ)- There was a rollout from 6,000 Sep $42 calls ($3.40 credit) into 9,000 Sep $45 calls ($1.35 debit). They raised FY15 guidance and reaffirmed FY16 margin guidance. The company also authorized a $6B share repurchase program.
Newfield Exploration (NFX)- Roughly 1,750+ Sep $30 puts were bought for $1.15-$1.25, against open interest of 1,723 contracts. There was a big Aug 21 $31 put buyer yesterday. Earnings are due out on August 4th.
Twitter (TWTR)- Another 5,595 Jan 2017 $35 calls … Read More »

Unusual Options Activity

Con-way (CNW)- Nearly 4,000 Sep $40 calls were bought for $1.05-$1.55. Typically trades 85 calls per day. Earnings are due out tonight.
GNC Holdings (GNC)- There was a likely rollout from 7,000 Jan 2016 $47.50 calls ($1.70 credit) into 7,000 Jan 2016 $42.50 calls ($3.70 debit). Earnings are due out tomorrow morning. Shares are nearing a retest of the April post-earnings lows. On May 1st, 7,500 Jan 2017 $47.50 calls were bought for $6.20 and on May 22nd, the Sep $42.50/$47.50 bull risk reversal was put on 2,500 times for a $0.45 debit.
WisdomTree Europe Hedge Equity Fund (HEDJ)- Another 5,000 Feb 2016 $65 calls were bought for $3.10, against open interest of 66,207 contracts. Over 70,000 were bought since June 29th. The top holdings include Anheuser-Busch, Telefonica, Siemens, and Daimler.
Marathon Oil (MRO)- There was sizable buying in the Aug … Read More »

Unusual Options Activity

Air Products & Chemicals (APD)- 1,000 Aug $125 calls were purchased for $8.30. Earnings are due out on July 30th. This is Bill Ackman’s 2nd largest holding (9.65% stake).
Ingersoll-Rand (IR)- 20,000 Dec $62.50 calls were bought for $2.95-$3.20. Call activity was 38x the average daily volume. IR is down after their Q2 results, but they did reaffirm FY15 guidance.
LyondellBasell Industries (LYB)- There was a rollout from 12,500 Jan 2016 $100 calls ($3.30 credit) into 12,500 Jan 2016 $95 calls ($5.30 debit). They beat Q2 EPS and revenue estimates this morning. The stock is trying to find support at the 200-day SMA.
Navient (NAVI)- Over 3,300 Oct $15 puts were purchased for $0.60-$0.65. Typically trades 58 puts per day. Earnings estimates for 2015 and 2016 continue to fall and the downtrend that started earlier this year in the stock confirms … Read More »

Unusual Options Activity

American Express (AXP)- There was a rollout from 3,260 July 31 $76 puts ($1.64 credit) into 3,260 July 31 weekly $74 puts ($0.55 debit). On July 22nd, they reported a 4% drop in Q2 revenue (worse than expected). The strong dollar is partially responsible for the weakness.
Ball Corp (BLL)- 2,428 Feb 2016 $72.50 calls were purchased for $2.60 and 2,428 Sep $62.50 puts were sold for $0.90-$0.95. Over 12,000 remain in open interest in the Feb $72.50 calls from buying in recent months. They are trying to acquire Rexam (would combine the two largest can makers in the world), but there are still regulatory hurdles to overcome. Earnings are due out on July 30th.
Caterpillar (CAT)- There was a rollout from 4,000 Aug 21 $76 puts ($2.00 credit) into 6,000 Sep 18 $70 puts ($0.81 credit). On July 23rd, … Read More »

Unusual Options Activity

Peabody Energy (BTU)- There was a rollout from 24,000+ Jan 2016 $1.50 puts ($0.64-$0.65 credit) into 40,000+ Jan 2016 $1 puts ($0.34 debit). Earnings out on July 28th. Yesterday, fellow coal miner, Arch Coal, announced a 1 for 10 reverse stock split (not a good sign). BTU, a stock trading at $1 and change, is expected to lose $2 per share this year.
Energy Transfer Equity (ETE)- 5,000 Jan 2016 $65 calls were bought for $3.10, against open interest of 6,644 contracts. There was sizable buying in these yesterday too. ETE wants to acquire Williams Companies (current offer is $48B), but they aren’t going for it yet.
Lexmark International (LXK)- There was a rollout from 2,500 Aug $46 puts ($8.50 credit) into 2,500 Aug $41 puts ($3.80-$3.90 debit). They paid $1.35 for the Aug $46 puts yesterday. Today, they issued … Read More »

Unusual Options Activity

AK Steel (AKS)- There was a rollout from 16,431 Sep $3 puts ($0.47 credit) into 32,177 Jan 2016 $2 puts ($0.24 debit). Steel prices are hitting multi-year lows and EPS estimates continue to be revised lower because of it (-$0.47 to -$0.90 for 2015 in just three months).
Advanced Micro Devices (AMD)- There was a rollout from 10,029 Oct $2 puts ($0.32 credit) into 20,058 Jan 2016 $1.50 puts ($0.16 debit). On July 17th, Citigroup lowered their price target to $1.50 from $2 citing market share loss, burning through their cash, and weak PC demand.
Baxter International (BAX)- 15,000+ Aug 21 $38.50 calls were purchased for $0.48. Earnings are due out on July 29th. They spun off Baxalta, a developer new treatments for people with orphan diseases and underserved conditions, last month.
Citigroup (C)- 10,000+ Sep $60 calls were bought for … Read More »

Unusual Options Activity

Bank of America (BAC)- 6,000 Nov $18 calls were purchased for $0.69, against open interest of 140,402 contracts. Also, there was bullish flow into the Aug 21 $18 calls.  Q2 results came in better than expected today (topping both the top and bottom Wall Street estimates).
Centene (CNC)- The Sep $67.50/$80 bull risk reversal was put on another 1,000 times for a $1.10. This was done 4,000 times earlier this month. They agreed to acquire Health Net for $6.8B in a cash and stock deal earlier this month.
Hovnanian Enterprises (HOV)- More than 4,000 Nov $2 puts were purchased for $0.15-$0.20. The long-term downtrend remains intact as EPS estimates for 2015 and 2016 continue to be revised lower nearly every month ($0.05 to -$0.11 for 2015 estimates in just 3 months).
Coca-Cola (KO)- There was a likely rollout from 10,016 Aug … Read More »

Unusual Options Activity

ASML Holding (ASML)- 3,000 July $100 puts were bought for $1.25-$1.45. Put activity was 5x the average daily volume. Shares have recovered in the last week, but it is struggling to regain the 100-day SMA ahead of earnings tomorrow morning.
Bed Bath & Beyond (BBBY)- The 1×2 Nov $67.50/$60 ratio put spread was put on 3,350 times for a $1.60 debit. Whether it has been their quarterly results or their FY outlook as of late, BBBY has found a way to disappoint investors in recent reports. On June 25th, Telsey Advisory reiterated their underperform rating and a $65 price target.
Micron Technology (MU)- The 1×2 Jan 2016 $20/$25 ratio call spread was put on 6,500 times for a $0.92 debit. There were reports last night that Tsinghua Unigroup is offering $21 per share to acquire to the company.
United States Steel … Read More »

Unusual Options Activity

Axis Capital (AXS)- The July/Aug $55 put calendar was put on 3,265 times for a $0.90 debit. Ideally in this trade he/she wants AXS to stay above $55 through July expiration and then drop through August options expiration (earnings are due out on July 28th).
Chesapeake Energy (CHK)- 60,000 Sep $8 puts were sold for $0.28. In 2008, shares bottomed at $8.43 (2003 was the last time it was below $8). The stock trades at 0.68x sales (2015 estimates).
Del Frisco’s Restaurant (DFRG)- There was a rollout from 5,000 Aug $20 calls ($0.30 credit) into 3,000 Aug $17.50 calls ($1.25 debit). Earnings are due out on July 23rd (shares has moved higher after earnings on 5 out of the last 6 reports).
Immunomedics (IMMU)- 6,000 Aug $4 puts were sold for $0.95, against open interest of 7,389 contracts. The small cap … Read More »

Unusual Options Activity

Conn’s (CONN)- The 1×2 Aug $45/$50 ratio call spread was put on 5,000 times for a $0.45 debit. They are still in recovery mode. They reported June sales were up 11.9% today and named a new CFO.
Limited Brands (LB)- 2,000 Aug $80.50 puts were sold for $1.35-$1.39. They reported June sales rose 3% this morning (Victoria’s Secret only +1%). After the results Mizuho reiterated their buy rating on the stock.
SanDisk (SNDK)- 6,922 July 24 weekly $50 puts were bought for $0.89. Earnings are due out on July 22nd (shares have dropped after earnings on 4 consecutive reports). Samsung and AMD’s weak Q2 outlook are concerning for the company’s near-term earnings.
SUPERVALU (SVU)- Over 5,000 Aug $8 calls were purchased for $0.37-$0.45. Call activity was 7x the average daily volume. Earnings are due out on July 28th.
Swift Transportation (SWFT)- 25,500 … Read More »

Unusual Options Activity

 Freeport McMoRan (FCX)- 30,000+ Aug 21 $14 puts were bought for $0.34-$0.38. Earnings are due out on July 23rd (shares have dropped after earnings on 4 straight reports).
MGM Resorts International (MGM)- There was a rollout from 2,000 July 17 $18 puts ($0.75 credit) into 4,000 Aug 21 $17 puts ($0.85 debit). Shares are trading just above support at the $17.25-$17.50 level.
Rockwell Automation (ROK)- There was a rollout from 1,140 July $125 puts ($4.50 credit) into 1,140 Aug $125 puts ($7.60 debit). Also, there was sizable buying in the Aug $120 puts. Q3 earnings are due out on July 29th. The stock broke below the 50-day EMA today.
Raptor Pharmaceuticals (RPTP)- 3,500 Aug $14 calls were bought for $1.20. They have Phase 2 data results due in Q3 or Q4 of this year.
United Rentals (URI)- There was a rollout from … Read More »

Unusual Options Activity

Anacor Pharmaceuticals (ANAC)- There was another rollout from 1,000 July $80 calls ($7.80 credit) into 1,000 Aug $90/$120 bull call spreads ($11.60 debit). This same trade occured yesterday too. The maker of Kerydin (anti-fungal toenail treatment) had its price target raised to $80 from $70 at Jefferies on July 1st. They are upbeat about upcoming Phase 3 results out within the next month or so on AN2728.
Activision Blizzard (ATVI)- Over 3,200 Nov $26 calls were bought for $1.23. Today, Pacific Crest kept their overweight rating and upped the price target to $30 from $25.
Corning (GLW)- There was a rollout from 5,000 July 10 weekly $20 puts ($0.77 credit) into 7,500 July 10 weekly $19.50 puts ($0.40 debit). GLW is hitting new lows amide concerns in the semiconductor industry. The cell phone screen maker will report earnings on July 28th.
IMAX … Read More »

Unusual Options Activity

ACE Limited (ACE)- 2,000 Nov $100 puts were sold for $3.30. They are acquiring insurance competitor, Chubb, for $28.3B in a cash and stock deal. Earnings are due out on July 21st.
ARM Holdings (ARMH)- 1,700 Oct $44 puts were bought for $1.40-$1.45. Also, there was sizable buying in the July and Aug puts (put activity was 17x the average daily volume). Shares are nearing a test of the $48 support level. Several tech stocks have saw big put buying in recent days. Earnings are due out on July 22nd.

Cypress Semiconductor (CY)- 9,000+ Sep $12 calls were bought for $0.70-$0.80. Earnings are due out on July 16th (shares have moved higher after earnings on 5 out of the last 6 reports). Yesterday, Barclays initiated the stock with an overweight rating and a $15 price target.
Swift Transportation (SWFT)- … Read More »

Unusual Options Activity

American Eagle Outfitters (AEO)- 3,000+ Aug 7 weekly $17.50 calls were purchased for $0.55-$0.60. The uptrend in shares remains in place as EPS estimates for 2015 and 2016 continue to trend upward.
EMC Corp (EMC)- There was a rollout from 6,000+ Aug 21 $29 calls ($0.15 credit) into 6,000+ Aug 21 $27 calls ($0.64 debit). Earnings are due out on July 22nd. EMC has been range bound between $26 and $27.50 since April. The company doesn’t plan on breaking up despite investor pressure to do so.
Maxim Integrated Products (MXIM)- 6,000 Aug $35 puts were purchased for $2.09-$2.15. Put activity was 9x the average daily volume. Earnings are due out on July 23rd. MXIM shares gapped down by about 8% on the previous earnings report. After recent deals in the semiconductor space they are considered a takeover target.
Texas Instruments (TXN)- … Read More »

Unusual Options Activity

BP p.l.c (BP)- 3,000 July 17 $40 puts were bought for $0.49, against open interest of 3,810 contracts. The stock is on pace to close below the 100-day SMA for the first time since March.
InfraREIT (HIFR)- 2,000 Aug $35 calls were purchased for $0.85-$0.95. Call activity was 8x the average daily volume. Hunt Consolidated (large HIFR shareholder) is looking at acquiring assets from Energy Future. On June 16th, Macquarie initiated HIFR with an outperform rating and a $36 price target.
Williams Companies (WMB)- The Sep $50/$60/$67.50 bull call spread risk reversal was put on 7,500 times for a $0.48 debit. Last week,  Energy Transfer Partners offered to acquire WMB for $64 per share. This has since been rejected as too low of an offer.
Materials Select Sector SPDR Fund (XLB)- 10,000+ July 2 weekly $49 puts were purchased for $0.38-$0.42. … Read More »

Unusual Options Activity

Anadarko-Petroleum (APC)- The Jan 2016 $90/$110/$130 call butterfly was put on 5,000 times for a $2.12 debit. This trade can be up to $20 and is profitable between $92.12 and $127.88.
Cameron International (CAM)- Over 5,000 July $50 puts were purchased for $0.35-$0.60. Put activity was 14x the average daily volume (IV +22.8% to 31.84). Energy stocks remain the most active in terms of big option trades today. USO (oil ETF) is trying to hold onto the $20 level.
Chevron (CVX)- 12,124 July 17 $102 calls were bought for $0.28. CVX is down over 10% from the April highs, but it is retesting support at $97-$98.
Nabors Industries (NBR)- Another 2,300+ Aug $12 puts were bought for $0.26-$0.27, against open interest of 4,924 contracts. Over 4,800 were bought yesterday for $0.22-$0.26. A close below $14 would be a bearish signal ahead … Read More »

Unusual Options Activity

Advanced Micro Devices (AMD)- Roughly 14,000 Aug $2.50 calls were purchased for $0.30. They’re rumored to looking at separating/ spinning off part of the business, but they have so far denied the Reuters report. Q2 earnings are due out on July 16th.
Chesapeake Energy (CHK)- A likely rollout from 5,000 Jan 2016 $12 puts ($2.07 credit) into 10,000 Jan 2016 $10 puts ($1.06 debit). The stock is down for the 5th consecutive week, but doesn’t have any major support until the 2008 lows near $8.50. Analyst EPS estimates for 2015 and 2016 have only worsened in recent months, falling to -$0.16 from +$0.04 for this year.

HCA Holdings (HCA)- The July 17 $85/$92.50 bull call spread was closed out 4,080 times for a $4.30 credit. They put this on yesterday for $1.95 debit. Hospital stocks rallied around 10 … Read More »