Netflix closed at USD 68.53, down 0.20%.
Recent large options trades in NFLX were dominated by a single, massive bearish combination, signaling strong institutional conviction for a downside move, while overall options pricing appears relatively balanced.
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Options Indicators
NFLX’s implied volatility stands at 37.24%, while its IV percentile is 47.01%, placing current volatility in a neutral range rather than at an extreme. With the IV/HV ratio at 0.86, implied volatility is also running below historical volatility, suggesting option premiums are not especially stretched and overall pricing looks relatively reasonable at current levels rather than notably cheap or expensive. The Call/Put volume ratio is 2.29.
Large Trades
A directional same-side double-buy put combination worth $5.17 million was the dominant large trade, consisting of two purchases of the 67.5 strike puts expiring on 2026-11-20, one for $3.01 million across 6,577 contracts and another for $2.16 million across 4,736 contracts. With NFLX referenced at $68.53, the 67.5 strike puts were out of the money at execution. Because both legs were bought rather than sold, this structure represents a net debit position and a clear directional downside wager rather than premium collection. The strategic intent points to a trader willing to pay meaningful premium for bearish exposure and potentially for an anticipated larger move lower over a longer-dated horizon.
A CALL buy worth $0.55 million targeted the 68.0 strike expiring on 2026-08-21, with 1,479 contracts purchased. With the stock at $68.53, this call was in the money at the time of the trade, making it a relatively direct bullish expression with intrinsic value already embedded. As a single-leg long call purchase, this was also a net debit trade and signals upside participation rather than hedging or income generation. Strategically, it suggests the buyer wanted leveraged bullish exposure over a long-dated maturity, but its size was far smaller than the dominant bearish put accumulation.
Overall sentiment from all large trades leaned clearly bearish, with total bullish flow at $0.64 million versus total bearish flow at $5.19 million, leaving a net difference of $4.55 million to the bearish side. The directional judgment is therefore decisively bearish. That conclusion is driven primarily by the outsized long-put combination, which overwhelmingly outweighed the scattered smaller bullish call and put-selling activity, indicating that while there was some upside positioning, the dominant institutional-sized conviction was centered on downside exposure in NFLX.
Strategy Reference
A seller of the 60-strike put, expiring in 2026, could collect premium while maintaining a low probability of assignment given its distance from the current price, while a bear put spread using the 67.5/60 strikes for the same expiration would define risk and reduce capital outlay compared to the outright long put position observed.
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