Market Overview

Mike Khouw Sees Unusual Options Activity In Facebook

Share:

On CNBC's "Options Action," Mike Khouw spoke about an unusual options activity in Facebook, Inc. (NASDAQ: FB) ahead of earnings. The company is going to report earnings on Wednesday and the options market is implying a move of 6.5% in either direction. The stock has moved around 7% on earnings on the longer-term period but in the last four quarters, it moved around 10%.

The largest trade of the session was a purchase of 6,800 contracts of the July 180 puts for $0.50. Ultimately, over 11,000 contracts of the July 180 puts exchanged hands. The trade breaks even at $179.50 or 11.30 percent below the closing price on Tuesday.

See Also: A Historical Look At How Facebook Shares Trade After Earnings

Facebook closed Tuesday's session at 202.36 per share.

Posted-In: CNBC Mike Khouw Options ActionOptions Markets Media

 

Related Articles (FB)

View Comments and Join the Discussion!
Book A Demo
Learn How You Can Succeed In The Market With Benzinga Pro

Fastest Market News

Real-Time News Alerts

Customizable News Filters

Book A Demo

The Daily Biotech Pulse: Jounce Jumps On Licensing Deal, Regulus Hit With Partial Clinical Hold, Genomic Health Added to S&P SmallCap Index

This Day In Market History: The Liquidation Of Corporate Fraud ZZZZ Best