Option Movers | TSLA's Volume Surges 147%; GME and AMC Still See 70%+ Call Options
Market Overview
U.S. stocks closed with slight gains on Tuesday (May 21), sending the S&P 500 and Nasdaq to record levels, as investors assessed the latest comments from Federal Reserve officials for clues on the timing of a rate cut while quarterly earnings from Nvidia drew closer.
Regarding the options market, a total volume of 30,082,730 contracts was traded, down 11% from the previous trading day.
Top 10 Option Volumes
Top 10: $TSLA(TSLA)$, $AAPL(AAPL)$, $NVDA(NVDA)$, $AMZN(AMZN)$, $MSFT(MSFT)$, $AMC(AMC)$, $GME(GME)$, $AMD(AMD)$, $WBD(WBD)$, $PANW(PANW)$
Source: Tiger Trade App
$Tesla(TSLA)$ shares jumped 6.7% on Tuesday, propelled by new details on the EV company's highly anticipated electric Semi truck project. First unveiled in 2017, the automaker has now set its sights on delivering these cutting-edge vehicles by 2026.
There are 2.47 million Tesla option contracts traded on Tuesday, up 147% from the previous trading day. Call options account for 60% of overall option trades. Particularly high volume was seen for the $180 strike call option expiring May 24, with 160,827 contracts trading. TSLA 20240524 180.0 CALL
$Nvidia(NVDA)$'s options are primed for an 8.7% swing, or $200 billion in market cap, in either direction by Friday, according to data from options analytics firm Trade Alert. The chipmaker's shares closed up 0.64% at a record high on Tuesday and are up about 93% on the year, after surging nearly 240% in 2023.
There are 572.4K Nvidia option contracts traded on Tuesday, down 9% from the previous trading day. Call options account for 59% of overall option trades. Particularly high volume was seen for the $950 strike call option expiring May 24, with 18,349 contracts trading. NVDA 20240524 950.0 CALL
Unusual Options Activity
Source: Market Chameleon
$GameStop(GME)$ and $AMC Entertainment(AMC)$ pared back Monday’s gains Tuesday as the dust continued to settle from last week’s meme-stock frenzy. Shares of GameStop ended Tuesday’s session down 4.4% after ending Monday’s session up 4.2%. AMC shares fell 3.7% after closing up 9.8% on Monday.
There are 325.4K GameStop option contracts traded on Tuesday, down 28% from the previous trading day. Call options account for 72% of overall option trades. Particularly high volume was seen for the $20 strike call option expiring June 21, with 22,048 contracts trading. GME 20240621 20.0 CALL
There are 359.7K AMC Entertainment option contracts traded on Tuesday, down 24% from the previous trading day. Call options account for 75% of overall option trades. Particularly high volume was seen for the $5 strike call option expiring May 24, with 47,501 contracts trading. AMC 20240524 5.0 CALL
$PDD Holdings Inc(PDD)$ is scheduled to report first-quarter 2024 results on May 22. For the first quarter, the Zacks Consensus Estimate for sales is pegged at $10.42 billion, indicating growth of 90.1% from the prior-year quarter’s reported figure. The consensus mark for earnings per share is pinned at $1.60, suggesting a rise of 58.4% from the year-ago quarter’s reported number.
There are 244.3K PDD Holdings option contracts traded on Tuesday, up 95% from the previous trading day. Call options account for 56% of overall option trades. Particularly high volume was seen for the $140 strike put option expiring August 16, with 26,877 contracts trading. PDD 20240816 140.0 PUT
$Palo Alto Networks(PANW)$ shares fell 3.7% on Tuesday as the cybersecurity company failed to sport much upside with its latest quarterly forecast, which bracketed the consensus view.
There are 260.9K Palo Alto Networks option contracts traded on Tuesday, up 47% from the previous trading day. Call options account for 58% of overall option trades. Particularly high volume was seen for the $300 strike put option expiring May 24, with 15,119 contracts trading. PANW 20240524 300.0 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 -2,671,102 shares of Apple stock. The largest bearish delta came from selling calls. The largest delta volume came from the 24-May-24 192.5 Call, with traders getting short 2,635,668 deltas on the single option contract. AAPL 20240524 192.5 CALL
Top 10 bullish stocks: $BNED(BNED)$, $PTON(PTON)$, $TSLA(TSLA)$, $AMC(AMC)$, $ZIM(ZIM)$, $NVDA(NVDA)$, $HUN(HUN)$, $NKLA(NKLA)$, $XPEV(XPEV)$, $FFIE(FFIE)$
Source: Market Chameleon
Top 10 bearish stocks: $AAPL(AAPL)$, $NXE(NXE)$, $AMZN(AMZN)$, $NU(NU)$, $DJT(DJT)$, $SOFI(SOFI)$, $RIOT(RIOT)$, $AAL(AAL)$, $VALE(VALE)$; $TSM(TSM)$
Source: Market Chameleon
If you are interested in options and you want to:
Share experiences and ideas on options trading.
Read options-related market updates/insights.
Learn more about options trading if you are a beginner in this field.
Please click to join Tiger Options Club
$(TSLA)$ $(NVDA)$ $(GME)$ $(AMC)$ $(PDD)$ $(PANW)$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.
