Stocks vs. Options: Which generates better returns?
Plug in your stock idea to find options trades offering a potentially better ROI.
NEW TO OPTIONS?
Visit our New to Options page to learn more.
Find out more »
Shares of these stocks are down during the first hour of trading, and investors are short deltas.
Jud Pyle is the Chief Investment Strategist for Options News Network. After four years with SBC Warburg, he joined PEAK6 Investments as an equity options trader and chief risk officer.
AKAM shares have dropped 41 cents, or around 2%, or $20.55 so far today, as investors prepare for the company’s earnings tonight after the market closes. The December 20 puts have traded more than 7,000 times for around $1.45. The at-the-money November 21 straddle is trading at $2.73, a bit of an expansion from yesterday’s straddle that closed at $2.53, showing implied volatility ticking up slightly.
AKAM: $20.55 down $0.4100 or 1.96% volume: 1.01 million shares
Dec09 20.00 Puts: volume over 7113, trading last: $1.44 bid: $1.40 ask: $1.45 OI: 81
Straddle: Nov09 21.00 trading $2.7250 price over strike: 12.9762%
Prev. Day Straddle: Nov09 21.00 trading $2.5250 price over strike: 12.0238%
BuyWrite: May10 21.00 Calls Yielding 14.23% call: $2.92
Prev. Day BuyWrite: May10 21.00 Calls Yielding 15.09% call: $3.10
STT stock is currently down 19 cents to $43.06 a share following its earnings announcement on Oct. 20. We won’t see earnings out of STT until mid-January, but at least one investor boosted call volume out of the gate. The investor traded the December 50 calls 6,000 times for around 50 cents, keeping implied volatility stagnant this morning. The November 43 straddle is trading at $3.75, or 8.7% of strike, which is unchanged from the previous day straddle.
STT: $43.06 down $0.1900 or 0.44% volume: 1.44 million shares
Dec09 50.00 Calls: volume over 6000, trading last: $0.50 bid: $0.55 ask: $0.65 OI: 644
Straddle: Nov09 43.00 trading $3.7500 price over strike: 8.7209%
Prev. Day Straddle: Nov09 43.00 trading $3.7500 price over strike: 8.7209%
BuyWrite: May10 44.00 Calls Yielding 12.54% call: $5.40
Prev. Day BuyWrite: May10 44.00 Calls Yielding 12.89% call: $5.55
MAS has seen a 3% drop in stock this morning, down 38 cents to $12.70. The company reported 14 cents earnings per share, which beat analysts’ estimates by five cents. The December 10 puts have traded 5,000 times this morning for around 25 cents. The company did not announce any news, but the November 12.5 straddle is trading at $1.45, or 11.6% of strike, in slightly from yesterday’s straddle that closed at $1.48.
MAS: $12.70 down $0.3800 or 2.91% volume: 1.41 million shares
Dec09 10.00 Puts: volume over 5000, trading last: $0.25 bid: $0.20 ask: $0.30 OI: 0
Straddle: Nov09 12.50 trading $1.4500 price over strike: 11.6000%
Prev. Day Straddle: Nov09 12.50 trading $1.4750 price over strike: 11.8000%
BuyWrite: Apr10 15.00 Calls Yielding 6.89% call: $0.88
Prev. Day BuyWrite: Apr10 15.00 Calls Yielding 7.87% call: $1.00
Two Traders, One Strategy Steve and Jared take a look at risk management strategies on the OH platform.
Navigating OptionsHouse Get to know the OH platform and all the tools you have at your disposal.