Shares ofClover Health Investments Corp (CLOV) have shed half their value since late December. At least one trader sees a further decline ahead. That’s based on the May 25th $9 put options. With 32 days until expiration, over 9,400 contracts traded hands, a 75-fold rise in volume from the prior open interest near 125. The buyer of the contract paid about $1.42. With shares just under $10, the option is slightly out-of-the-money. Come expiration, shares will need to trade lower than $7.60 for the option buyer to profit. That’s about halfway between the current price and the 52-week lo...

Telecom companyAltice USA (ATUS) has been trending up in the past year, and performing well for a telecom. However, at least one trader sees the potential for a big drop. That’s based on the January 2022 $20 puts. With 277 days until expiration, over 10,900 contracts traded from a 115 open interest, for a 95-fold rise in volume. The put buyer paid about $0.50 for each contract. With shares currently near $33.50, shares would need to fall by over $13 for this trade to move in-the-money, a drop of over one-third. With shares near an all-time high and trading at 44 times earnings, they ...

Shares of social media firmSnapchat (SNAP) peaked in February before trending down. In the past week, they’ve started moving up again. At least one trader sees a push to new all-time highs. That’s based on the May $62 calls. With shares at $62.01, they’re the at-the-money trade. With 28 days until expiration, over 4,680 contracts traded against a prior open interest of 136, for a 34-fold rise in volume. The buyer of the call paid $5.10 to make the trade. Snapchat next reports earnings on April 22nd, one week from now. So the trade is likely a bet on a strong earnings beat. In the ...

AI speech companyNuance Communications (NUAN) moved higher on Monday asMicrosoft (MSFT) announced it was buying the company. One trader sees the possibility for a bidding war that may lead to a higher price for shares. That’s based on the January 2022 $65 call. Over 5,145 contracts traded after the merger news, a 30-fold rise in the prior open interest of 171 contracts. The buyer of the option paid $0.33 on average to make the trade. The merger news with Nuance is closer to $55 per share, and the stock price rose to nearly $53 on the announcement. A move to $60 is only slightly highe...

British bankBarclays PLC (BCS) has been trending higher in the past six months, but the rate of the rally has started to slow in recent weeks. Traders seem to be sensing a weakness ahead for the bank. That’s based on the September $10 put. With 156 days until expiration, over 8,080 contracts traded against a prior open interest of 126, for a 64-fold rise in volume. The buyer of the puts paid about $0.80 for the trade. With shares just over $10, they’d need to drop about 3 percent for this trade to move in-the-money. Shares are up over 150 percent from their lows of a year ago.Action ...

Mortgage REITTwo Harbors Investment Corp (TWO) has seen shares slow from a strong rally in recent months to a more sideways trend. One trader is betting that shares are due for a drop. That’s based on the May 21st $7 puts. With just over a month left on the trade, and with shares around $7.40, the put option will move higher on a drop in shares. Over 10,160 contracts traded, a 28-fold rise in volume from the prior open interest of 367. The buyer of the put options paid about $0.18 on average. The REIT has seen a rise in revenue and earnings in the past year, and shares have moved ...

After trading in a range for nearly three months, shares ofNCR Corp (NCR) have finally broken higher. One trader sees the trend continuing strongly in the next month. That’s based on the May $46 calls. With 39 days until expiration, over 8,060 contracts traded, a 40-fold rise in volume from the prior open interest of 204 contracts. With shares right around $39, shares would need to rally about 18 percent for the option to move in-the-money. The trader paid about $0.53 for the contracts on average. NCR used to be short for National Cash Register. While the company still has roots i...

File sharing app companyDropbox (DBX) is trading at its highest level since shortly after it went public in 2018. One trader sees the potential for shares to continue higher. That’s based on the May 21st $29 call. Expiring in 42 days, over 7,750 contracts traded, a 36-fold rise in volume compared to the prior number of contracts at 213. The option buyer paid about $1.50 for the contract. With shares about $1.50 under the strike price, the stock would need to rally about 2 percent in the next few weeks to move in-the-money. While Dropbbox hasn’t been profitable, revenue has grown b...

Real estate listing firmZillow (Z) saw shares soar to $200 before dropping back down to $120. Now, with shares on the rise to $140, one trader is betting on a move higher. That’s based on the September $120 calls. With 162 days until expiration, the option is about $20 in-the-money given the recent price of $140. Over 10,100 contracts traded compared to a prior open interest of 133, for a 76-fold rise in volume. The trader paid about $33 for the option. Shares are up more than 250 percent in the past year.  While the real estate company isn’t yet profitable, the company has been t...

Semiconductor playApplied Materials (AMAT) has more than doubled since November. One trader sees the trend continuing. That’s based on the June $185 calls. Expiring in 72 days, over 9,000 contracts traded against a prior open interest of 150, for a 60-fold rise in volume. Shares would need to rise about 22 percent from their current price of $143 to close in-the-money at expiration. The buyer of the options paid about $3.10 for the contract. Thanks to a shortage in the semiconductor space, earnings and revenue have risen in the mid-20 percent range over the past year. That still pale...