Option Movers|Apple’s Volume Surged Over 80% on iPhone Demand Concerns; These Two Tech Stocks Have 70% Put Options

Tiger Newspress2022-09-29

Wall Street ended sharply higher on Wednesday(Sep.28) following its recent sell-off, helped by falling Treasury yields, while Apple dropped on concerns about demand for iPhones.

The Dow Jones Industrial Average rose 1.88% to end at 29,683.74 points, while the S&P 500 gained 1.97% to 3,719.04. It was the S&P 500's largest one-day gain since Aug. 10. The Nasdaq Composite jumped 2.05% to 11,051.64.

Options Broad View

A total volume of 40,683,443 contracts were traded on Wednesday, up 12.38% from the previous day. Call options account for 47% of total options trades.

There are 9.83 million SPDR S&P 500 ETF Trust options traded on Wednesday. Call options account for 41% in overall option trades. Particularly high volume was seen for the $370 strike call option expiring September 28, with 343,822 contracts trading on Wednesday.

Top 10 Option Volumes

Top 10:SPY, QQQ,AAPL,TSLA,IWM, HYG, AMZN, VIX, META, BABA

Source: Tiger Trade APP

Options related to equity index ETFs are still top choices for investors, with 3.71 million Invesco QQQ Trust options contracts trading on Wednesday. Call options account for 38% in overall option trades. Total trading volume for SPDR S&P 500 ETF Trust and Invesco QQQ Trust rose 7.2% and 42.69%, respectively, from the previous day.

Moreover, Apple’s option contracts trading volume surged 83.59% to 2.35 million from the previous day, call options account for 46% of overall option trades. Particularly high volume was seen for the $150 strike call option expiring September 30, with 159,744 contracts trading on Wednesday.

The company has told suppliers to bail on plans to increase iPhone 14 production. Demand for the new models failed to spike as high as anticipated, according to Bloomberg. Stocks slid 1.27% on Wednesday.

Netflix surged 9.29% on Wednesday, analyst Hamilton Faber raised his rating for it to Overweight from Neutral -- citing the potential of the advertising business -- and raised his price target to $283 from $211.

Faber believes Netflix's per-user ad revenue could be three times larger than competitor Hulu because of its higher viewership-per-subscriber numbers. The company is set to launch an ad-supported subscription later this year.

There are 427,400 option contracts traded on Wednesday. Call options account for 41% of overall option trades. Particularly high volume was seen for the $250 strike call option expiring September 30, with 16,054 contracts trading on Wednesday.

Other Mega-cap stocks like Meta, Alibaba, Amazon, Microsoft and Tesla rose 5.36%, 4.01%, 3.15%, 1.97% and 1.72%.

Unusual Options Activity

Source: Market Chameleon

Block jumped 7.24% on Wednesday as it launched Tap to Pay on Apple Inc iPhone to its millions of sellers across the U.S.Available within the Square Point of Sale iOS app, Tap to Pay on iPhone lets sellers of all sizes accept contactless payments directly from their iPhone without additional hardware and cost to the seller.

There are 221,000 option contracts traded on Wednesday. Put options account for73% of overall option trades. Particularly high volume was seen for the $63 strike call option expiring September 30, with 10,365 contracts trading on Wednesday.

PayPal rose 6.26% on Wednesday after TCW Group cut its position in shares of PayPal by 38.3%in Q2, according to the company in its most recent filing with the SEC. The firm owned 921,945 shares after selling 573,426 shares in Q2. TCW Group owned 0.08% of PayPal worth $64,389,000 as of its most recent filing with the SEC.

There are 154,200 option contracts traded on Wednesday. Put options account for70% of overall option trades. Particularly high volume was seen for the $90 strike call option expiringSeptember30, with2,300 contracts trading on Wednesday.

TOP Bullish & Bearish Single Stocks

This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).

If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.

Top 10 bullish stocks: QQQ, EEM, SPY, SIRI, BAC, XLE, EFA, IWM, KWEB, TQQQ

Top 10 bearish stocks: BABA, AMD, KOS, UVXY, PLTR, MU, TLT, XRT, AAPL, HOOD

Source: Market Chameleon

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

Leave a comment
4