Ford Sees Biggest Options Volume This Year as Stock Heads for Worst Slump Since 2008
$Ford Motor(F.US$ is seeing its heaviest options trading volume this year as disappointing earnings set the stock on course for its worst slump since 200.
After the market closed on Wednesday, the carmaker reported adjusted earnings before interest and taxes fell by about $1 billion to $2.76 billion in the second quarter. That missed the $3.73 billion average of analyst estimates compiled by Bloomberg. The stock tumbled 18% to $11.195 at 2:32 p.m. in New York Thursday, poised for its worst loss since November 2008.
About 639,350 options traded so far, landing Ford in fifth place for the most active stock options, behind $NVIDIA(NVDA.US$ , $Tesla(TSLA.US$ , $Apple(AAPL.US$ and $Advanced Micro Devices(AMD.US$ .
The biggest activity across all the 15 expiration dates for Ford contracts are put options that give the holders the right to sell the stock at $15 each, with the combined volume reaching 58,770 so far.
More than half of those $13 puts traded so far are in contracts expiring tomorrow. That particular put option saw volume above 30,000, surpassing open interest of 29,220. The price of those puts climbed 723% to $1.81 amid rising demand for protection against continued share price slump.
Capital trend data compiled by moomoo showed fund inflows to Ford outpaced outflows by $2.77 million. Technical indicators are also flashing positive signals. Eight of those 15 technical gauges are showing that the stock could be oversold and the trend may soon turn bullish.
Share your thoughts on Ford and other carmakers below.
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Options trading entails significant risk and is not appropriate for all customers. It is important that investors readCharacteristics and Risks of Standardized Optionsbefore engaging in any options trading strategies. Options transactions are often complex and may involve the potential of losing the entire investment in a relatively short period of time. Certain complex options strategies carry additional risk, including the potential for losses that may exceed the original investment amount. Supporting documentation for any claims, if applicable, will be furnished upon request. Moomoo does not guarantee favorable investment outcomes. The past performance of a security or financial product does not guarantee future results or returns. Customers should consider their investment objectives and risks carefully before investing in options. Because of the importance of tax considerations to all options transactions, the customer considering options should consult their tax advisor as to how taxes affect the outcome of each options strategy. All company analysis information is provided by third parties and not by Moomoo Financial Inc. Any illustrations, scenarios, or specific securities referenced herein are strictly for informational purposes and is not a recommendation. Past investment performance does not guarantee future results. Investing involves risk and the potential to lose principal. This content is also not a research report and is not intended to serve as the basis for any investment decision. The information contained in this article does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Furthermore, there is no guarantee that any statements, estimates, price targets, opinions or forecasts provided herein will prove to be correct.
Options trading entails significant risk and is not appropriate for all customers. It is important that investors readCharacteristics and Risks of Standardized Optionsbefore engaging in any options trading strategies. Options transactions are often complex and may involve the potential of losing the entire investment in a relatively short period of time. Certain complex options strategies carry additional risk, including the potential for losses that may exceed the original investment amount. Supporting documentation for any claims, if applicable, will be furnished upon request. Moomoo does not guarantee favorable investment outcomes. The past performance of a security or financial product does not guarantee future results or returns. Customers should consider their investment objectives and risks carefully before investing in options. Because of the importance of tax considerations to all options transactions, the customer considering options should consult their tax advisor as to how taxes affect the outcome of each options strategy. All company analysis information is provided by third parties and not by Moomoo Financial Inc. Any illustrations, scenarios, or specific securities referenced herein are strictly for informational purposes and is not a recommendation. Past investment performance does not guarantee future results. Investing involves risk and the potential to lose principal. This content is also not a research report and is not intended to serve as the basis for any investment decision. The information contained in this article does not purport to be a complete description of the securities, markets, or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Furthermore, there is no guarantee that any statements, estimates, price targets, opinions or forecasts provided herein will prove to be correct.
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Former editor at Bloomberg, then Lazard Asset Management. Posts aren’t investment advice. Views are just mine.
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Cass4 : Xmas came early today! Load in, load more shares in!!!!
Ehsan230 Cass4 : 100