Option Movers｜ Nvidia's Volume Surges 66%; Traders Bet Nike to $90 after Earnings
Market Overview
The S&P 500 ended little changed on Friday(Mar 22), but the index registered its biggest weekly percentage gain of 2024 after the Federal Reserve this week stuck with projections for three interest rate cuts by year's end.
Regarding the options market, a total volume of 38,891,674 contracts was traded, down 9% from the previous trading day.
Top 10 Option Volumes
Top 10: $SPY(SPY)$, $QQQ(QQQ)$, $NVDA(NVDA)$, $TSLA(TSLA)$, $AAPL(AAPL)$, $IWM(IWM)$, $AMD(AMD)$, $Alphabet(GOOGL)$, $Nike(NKE)$, $Micron Technology(MU)$
Nvidia rose 3.1% to $942.89. UBS analysts raised their price target on the chip maker to $1,100 from $800 and maintained a Buy rating on the stock.
There are 2.66 million Nvidia option contracts traded on Friday, up 66% from the previous trading day. Call options account for 58% of overall option trades.
Unusual Options Activity
Nike posted fiscal third-quarter revenue that rose slightly from a year earlier, but shares fell 6.9% after the sneaker and apparel company said the first half of fiscal 2025 would be challenging, with sales down by low single-digit percentages year over year. “This reflects near term-headwinds from life cycle management of our key product franchises,” said Chief Financial Officer Matthew Friend on an earnings call with analysts, as well as the “subdued” global macroeconomic outlook.
There are 435,588 Nike option contracts traded on Friday, up 36% from the previous trading day. Put options account for 62% of overall option trades. Particularly high volume was seen for the $90 strike put option expiring March 28, with 10,947 contracts trading. $NKE 20240328 90.0 PUT$
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 -3,443,207 shares of Apple stock. The largest bearish delta came from selling calls. The largest delta volume came from the 22-Mar-24 172.5 Call, with traders getting short 6,153,330 deltas on the single option contract.
Top 10 bullish stocks: TSLA, NVDA, AMD, WBA, GM, VZ, GOOG, BA, AES, UBER
Top 10 bearish stocks: AAPL, F, GOOGL, FCX, LULU, MU, BMY, NKE, OXY, MS
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$(NVDA)$ $(NKE)$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.
