Option Movers｜Dell's Volume Surges 95% As Shares Slumped 12%; Traders See CrowdStrike to $330 This Friday

Wall Street's main indexes closed lower on Wednesday(Nov 27), with the Nasdaq leading declines, as technology stocks slumped on Thanksgiving eve on worries the Federal Reserve may be cautious about rate cuts after stubbornly strong U.S. inflation data.

Regarding the options market, a total volume of 41,988,227 contracts was traded on Wednesday.

Top 10 Option Volumes

Top 10: $NVDA(NVDA)$; $TSLA(TSLA)$; $AMZN(AMZN)$; $AMD(AMD)$; $AAPL(AAPL)$; $MSTR(MSTR)$; $SMCI(SMCI)$; $Palantir Technologies Inc.(PLTR)$ ; $MARA(MARA)$; $Dell Technologies Inc.(DELL)$

Source: Tiger Trade App

Fiscal third-quarter revenue at $Dell Technologies Inc.(DELL)$ rose 10% from a year earlier to $24.4 billion but missed analysts' expectations of $24.7 billion, and the company, a leading provider of computers and servers for artificial intelligence, issued a fourth-quarter revenue forecast that also missed estimates. The stock was down 12% after Dell said it expects revenue for the current quarter ending in January of $24 billion to $25 billion, below consensus estimates of $25.6 billion. The company said it was seeing some caution from customers for non-AI categories like its PC and storage businesses.

A total number of 333.75K options related to $Dell Technologies Inc.(DELL)$ was traded, up 95% from the previous trading day, of which 56% were call options. A particularly high volume was seen for the $120 strike put option expiring Nov 29, with 13,790 contracts trading. $DELL 20241129 120.0 PUT$

Unusual Options Activity

Source: Market Chameleon

Third-quarter adjusted earnings of 93 cents a share at $CrowdStrike Holdings, Inc.(CRWD)$ beat Wall Street estimates of 81 cents as revenue jumped 29% to $1.01 billion and beat forecasts. The cybersecurity company reported a bottom-line loss of 7 cents a share, a swing from year-earlier profit of 11 cents. "Our third-quarter results reflect our focused execution and financial discipline, which drove a strong finish and quarter-over-quarter increase in pipeline, despite expected headwinds from the July 19th incident," said Chief Financial Officer Burt Podbere, who was referring to an update to the company's software that triggered a global tech outage. The stock was down 4.6% after CrowdStrike said it expects fourth-quarter earnings of 84 cents to 86 cents per share compared with estimates of 86 cents.

A total number of 177,615 options related to $CrowdStrike Holdings, Inc.(CRWD)$ was traded, of which 52% were call options. A particularly high volume was seen for the $330 strike put option expiring Nov 29, with 5,579 contracts trading. $CRWD 20241129 330.0 PUT$

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.

Based on option delta volume, traders sold a net equivalent of -2,786,541 shares of AMZN stock. The largest bearish delta came from selling calls. The largest delta volume came from the 29-Nov-24 Call, with traders getting short 1,865,533 deltas on the single option contract.

Source: Market Chameleon

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