Option Movers｜GameStop Sees 53% Put Ratio; Nio Readies Its First Mass-Market EV, Options Pop
The Nasdaq scored a record closing high on Tuesday and the S&P 500 and the Dow also advanced as Federal Reserve Chair Jerome Powell reassured investors while they digested Tuesday's data and waited for Wednesday's crucial consumer inflation report.
Regarding the options market, a total volume of 40,691,026 contracts was traded, up 10% from the previous trading day.
Top 10 Option Volumes
Top 10: $AMC Entertainment(AMC)$; $Tesla(TSLA)$; $Nvidia(NVDA)$; $GameStop(GME)$; $AAPL(AAPL)$; $SoFi Technologies(SOFI)$; $Palantir(PLTR)$; $Amazon(AMZN)$ ; $Alibaba(BABA)$; $Microsoft(MSFT)$
Retail investor darlings GameStop and AMC soared on Tuesday, as posts from "Roaring Kitty" Keith Gill raised chatter about the return of the central figure behind the 2021 meme stock frenzy.
GameStop shares closed up 60%. AMC shares notched the biggest gain since January 2021, finishing up nearly 32% on Tuesday. GameStop surged nearly 27% and AMC jumped 30% in premarket trading.
A total number of 1.79M options related to AMC shares was traded, of which call options accounted for 63%. A particularly high trading volume was seen for the $8 strike Call option expiring May 17, 2024 with a total number of 104,311 options contracts trading on Tuesday.$AMC 20240517 8.0 CALL$
A total number of 806K options related to GME shares was traded, of which put options accounted for 53%. A particularly high trading volume was seen for the $57 strike Call option expiring May 17, 2024 with a total number of 46,952 options contracts trading on Tuesday.$GME 20240517 57.0 CALL$
A total number of 557.8K options related to SOFI shares was traded, of which call options accounted for 82%. A particularly high trading volume was seen for the $8 strike Call option expiring May 17, 2024 with a total number of 58,271 options contracts trading on Tuesday.$SOFI 20240517 8.0 CALL$
Unusual Options Activity
Shares of Alibaba fell sharply 6% on Tuesday after the Chinese tech giant’s net income attributable to ordinary shareholders came in at 3.3 billion yuan, down 86% year on year.
A total number of 483,614 options related to Alibaba shares was traded, 2 times higher than the 90-day average volume, of which call options accounted for 72%. A particularly high trading volume was seen for the $80 strike call option expiring May 17, 2024, with a total number of 36,823 options contracts trading on Tuesday.$BABA 20240517 80.0 CALL$
Nio prepares to launch its first mass-market car on Wednesday as Chinese EV startups downshift prices in a hunt for growth. Nio stock jumped 7% on Tuesday.
Nio announced that its second brand, Onvo, will launch its first model "Onvo L60" on the International Day of Families next Wednesday (15 May), targeting the mainstream family market. It is learnt that Onvo L60 will benchmark against Tesla's Model Y, focusing on the RMB250,000-grade family-use smart battery-electric SUV market. Onvo L60 will be priced between RMB200,000 and RMB300,000.
A total number of 290,301 options related to Nio shares was traded, 1.8 times higher than the 90-day average volume, of which call options accounted for 83%. A particularly high trading volume was seen for the $6 strike call option expiring May 17, 2024, with a total number of 33,256 options contracts trading on Tuesday.
TOP Bullish & Bearish Single Stocks
This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).
If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.
Based on option delta volume, traders bought a net equivalent of 8,188,324 shares of Microsoft stock. The largest bullish delta came from buying calls. The largest delta volume came from the 17-May-24 380 Call, with traders getting long 4,587,036 deltas on the single option contract.
Top 10 bullish stocks: MSFT, GME, NXE, BB, HOOD, FFIE, TUP, PLUG, SAVE, NVDA
Top 10 bearish stocks: AMC, AAPL, INTC, LLY, C, GOOG, ADM, BABA, CSCO, CLOV
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$(GME)$ $(AMC)$ $(BB)$ $(TUP)$ $(NVDA)$ $(NIO)$ $(PLTR)$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.
