Midday Unusual Options Activity Update: CBOE, CHK, WFT, HLF, AET, LEN, GNW
Implied Volatility Mover
Implied volatility in the options on CBOE Holdings (CBOE) is down today after the parent company of the Chicago Board Options Exchange reported earnings late-Tuesday. CBOE reported a 37-cent per share profit on $121.4 billion in revenues. Analysts were expecting 36 cents on $121.7 million. The disappointing revenue number might be weighing on the stock, as CBOE is down 78 cents to $25.86. Meanwhile, 2,840 calls and 480 puts traded on the stock, which is about 4X the expected volume for midday. Some players might be liquidating positions in calls on the news. Levels of implied volatility in CBOE options fell 15 percent to 20.
Volume Signals
Chesapeake (CHK) options volume is running 2.5X the (22-day) average, with 257,000 contracts traded and put volume accounting for 59 percent of the volume.
Weatherford (WFT) options volume is 2X the average daily, with 45,000 contracts traded and call volume representing for 95 percent of the activity.
Herbalife (HLF) options volume is running 2.5X the average daily, with 25,000 contracts traded and call volume accounting for 67 percent of the activity.
Increasing options activity is also being seen in Aetna (AET), Lennar (LEN), and Genworth (GNW).
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