Unusual Options Activity: Micron (MU)

Traders bet on continued rally. The January 10th, 2020 $57 call options on Micron (MU) saw a 37-fold rise in volume, going from 139 open contracts to over 5,000. With only 16 days until the option expires, shares will need to rise 2.8 percent in order to move in-the-money. And costing around $0.90, or $90 per contract, shares may need to move closer to $58 before the call buyer profits. Shares of Micron are already trading near a 52-week high and have surged ...
Read More
|

Unusual Options Activity: Tesla Motors (TSLA)

Traders bet on drop after massive rally. 16 months ago, Tesla Motors (TSLA) CEO Elon Musk tweeted about taking the company private at $420 per share. When that deal didn’t go through, shares got hammered—but now shares are closing in on that price after a massive rally. Some traders think this is a sign that the rally is about to end, judging by the activity in Tesla Motors put options. The December 27th $415 puts saw over 4,900 contracts trade, a 13-fold rise ...
Read More
|

Unusual Options Activity: AT&T (T)

Traders bet on rally to continue. January 31st, 2020 $40.50 call options on AT&T (T) saw a 25-fold rise in open interest, going from 205 contracts to over 5,000 trade hands. With 39 days until expiration, the bet is that shares will rally another $1.50, or 3.8 percent from their current price around $39. The buyer paid around $0.32, or $32 per option contract, and would need to see shares closer to $41 to make a profit at expiration. AT&T, the telecom giant, has ...
Read More
|

Unusual Options Activity: Intel (INTC)

Traders bet on massive rally in the first half of 2020. July 2020 $65 call options on Intel (INTC) saw a 19-fold increase in volume. Going from 213 to over 3,900 contracts, the bet is that shares will continue their rally. The recent price for shares around $57.50 relative to the option strike price indicates a 13 percent move higher in the next 210 days before expiration. The traders paid around $1.55, or $155 per contract. Any move closer to the strike price in ...
Read More
|

Unusual Options Activity: Eli Lilly and Company (LLY)

Traders bet on company heading higher. The February 2020 $135 call options on Eli Lilly and Company (LLY) saw a 20-fold rise in volume, going from 164 open contracts to over 3,380 trade hands. With 64 days to go until expiration and with shares trading around $128.50, the option will move in-the-money with a 5 percent rally in shares. Given the option price around $1.95, the option buyer stands to profit at expiration if shares hit $137 or higher. The option trade comes as ...
Read More
|

Unusual Options Activity: Apple (AAPL)

Rise in put-buying suggests drop in shares. Multiple options trades on Apple (AAPL) suggested a potential decline in shares. Of the trades made with high volume, the most interesting was the July 2020 $265 put option. That trade saw a six-fold rise in volume with nearly 600 contracts trade. Shares trade around $280, implying at least a $15 per-share downside, or about a 5.3 percent drop. With 212 days until expiration, any move down in Apple shares would allow the option to rally, ...
Read More
|

Unusual Options Activity: Morgan Stanley (MS)

February call buying indicates more upside to shares. Over 18,150 contracts traded on the February 2020 $52.50 call option on Morgan Stanley (MS). This is a 20-fold increase in volume from the open interest of 933 contracts. With 66 days to go before expiration, shares will need to rally about $1.50 or just under 3 percent for the option to move in-the-money. At a cost of around $1.16, or $116 per option, it’s a relatively inexpensive bet that the rally in financials will ...
Read More
|

Unusual Options Activity: BRF S.A. (BRFS)

Bet on food company rallying higher through June. Over 847 contracts traded on the June 2020 $10 call options on BRF S.A. (BRFS), a 13-fold rise over the prior trading volume of 100. In the next 186 days until expiration, shares of the company will need to rise about $1.50 to hit the $10 strike, or about a 17.6 percent rally in shares. At a price around $0.45, or $45 per contract, it’s an inexpensive bet on shares moving higher in the next ...
Read More
|