News Formal

Nvidia options show traders positioned for outsized share move after earnings

  • 📰 Reuters
  • ⏱ Reading Time:
  • 45 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 21%
  • Publisher: 97%

Australia News News

Australia Australia Latest News,Australia Australia Headlines

Traders in the U.S. equity options market are expecting a larger-than-usual swing in Nvidia's shares following the chipmaker's quarterly results after the close on Wednesday, options market data showed.

shares following the chipmaker's quarterly results after the close on Wednesday, options market data showed.

Nvidia options imply a nearly 11% swing for the shares, in either direction, by Friday, according to Trade Alert data. A move of that magnitude would be larger than the 8.6% average swing on the day after the chipmaker's results over the last eight quarters, but still well below the 24.4% jump after the last earnings report.

The stock has gained about 11% in the last seven sessions, taking its year-to-date gains to about 210%, and has drawn options bets on further gains. For contracts expiring this week, Nvidia call options that would make money if the stock climbed more than 9% by Friday to above $500, were the largest block of open options, with some 19,000 contracts open."A lot of good news is baked into this," Steve Sosnick, chief strategist at Interactive Brokers, said.Reporting by Saqib Iqbal Ahmed; Editing by Ira Iosebashvili and Cynthia Osterman

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 2. in AU
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Australia Australia Latest News, Australia Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Nvidia options show traders positioned for outsized share move after earnings By ReutersNvidia options show traders positioned for outsized share move after earnings
Source: Investingcom - 🏆 450. / 53 Read more »

This chip stock could yield a quick profit, depending on Nvidia's earnings, Morgan Stanley saysHow well Nvidia performs Wednesday could have implications for this derivative play, according to Morgan Stanley.
Source: CNBC - 🏆 12. / 72 Read more »

Nvidia earnings will be major test for AI demand, market rally By ReutersNvidia earnings will be major test for AI demand, market rally
Source: Investingcom - 🏆 450. / 53 Read more »

The history of companies with Nvidia-like valuations isn't a good oneNvidia now holds the distinction of having the highest price-to-sales ratio in the S&P 500, a title 99 companies have had since the 1960s. Here's how they...
Source: MarketWatch - 🏆 3. / 97 Read more »