Boeing Options $160 Puts Fly off the Shelves Tuesday

One contract, a $160 Put expiring Friday stood out for its trading volume Tuesday. The contract enables holders the right to sell Boing at 160, for a current price of $2.85.share for 100 shares. The contract saw a volume jump of 1,500% Tuesday alone as the stock fell. The contract trading value fell nearly 80%.

The lower price cited in the analyst note would be a 25% drop for the stock. According to Yahoo Finance the analyst wrote that rising costs hurt hir firms forward expectations of the stock.

"Boeing had a generational free cash flow opportunity this decade, driven by ramping production on mature aircraft and low investment need," Akers said in a note. "But after extensive delays and added cost, we now see growing production cash flow running into a new aircraft investment cycle, capping FCF a few years out."

The firm also faces labor issues in reaching an agreement by September 12th. According to a Tuesday CNN report, 32k workers in Washington State may launch the firms first strike in 16 years. According to the union leader, the outlook is not good: if the contract between Boeing and the International Association of Machinists expires without an agreement September 12, the union will strike.