Unusual Option Activity for Dec-07-2020 AXTA, TSLA, SPCE

Daily Synopsis -

    • The S&P 500 -0.21% today while the NASDaq had a small gain of (+0.56%). The Russell 2000 advanced (+0.1%). The Dow ended in negative territory at (-0.49%)
    • The best performing sector was Communication Services(+0.63%) while Energy(-2.34%)was the worst performer.
    • Not all growth stocks had great performances, but investors appeared to hide out in mega-caps Apple (AAPL 123.75, +1.50, +1.2%), Tesla (TSLA 641.76, +42.72, +7.1%), and Facebook (FB 285.58, +5.88, +2.1%). Apple’s gain was partially at the expense of Intel (INTC 50.20, -1.79, -3.4%), which fell 3% after Bloomberg reported on Apple’s next-gen Mac chips that could outclass Intel’s top-end PC chips.
    • Palantir Technologies (PLTR 28.94, +5.09, +21.3%), like Tesla, continued to ride a bullish momentum after securing a three-year contract with the FDA. PLTR shares surged 21%.
    • Separately, Boeing (BA 238.17, +5.46, +2.4%) and Pfizer (PFE 41.25, +0.91, +2.3%) were notable value-oriented stocks that bucked the negative trend in the space. Boeing was upgraded to Buy from Neutral at UBS. Pfizer could have its COVID-19 vaccine approved by the FDA on Thursday.
    • Looking ahead, investors will receive revised figures for Q3 Productivity and Unit Labor Costs and the NFIB Small Business Optimism Index for November on Tuesday.
Index Summary / Sector Summary -

S&P 500 : (-0.21%); NasDaq : (+0.56%);
Russell 2000 :(+0.1%); Dow :(-0.49%);
Vix :20.79 (+2.45%); [+3.55%]; {-6.0%}
Three highest sectors for today were –
Communication Services: (+0.63%); Utilities: (+0.56%); Information Technology: (+0.29%)
Three lowest sectors for today were –
Energy: (-2.34%); Real Estate: (-0.99%); Financials: (-0.69%)

Anticipated Earnings this Week -

Earnings info Monday –
No Earnings
Earnings info Tuesday –
LQDT 10.52 +0.55,(+5.52%)
PHR 49.01 +1.37,(+2.88%)
AVAV 91.36 +0.89,(+0.98%)
MDB 280.25 +2.62,(+0.94%)
CHWY 74.78 -0.16,(-0.21%)
AZO 1157.18 -5.45,(-0.47%)
CMD 61.6 -1.58,(-2.5%)
HRB 17.7 -0.49,(-2.69%)
GWRE 125.47 -3.65,(-2.83%)
GME 16.35 -0.55,(-3.25%)

Earnings info Wednesday –
PLAB 13.15 +0.26,(+2.02%)
VERU 3.35 +0.05,(+1.52%)
ADBE 492.38 +6.38,(+1.31%)
RH 468.81 +0.81,(+0.17%)
UNFI 18.23 -0.1,(-0.55%)
VRA 8.22 -0.05,(-0.6%)
GEF 50.04 -0.7,(-1.38%)
LULU 371.46 -5.6,(-1.49%)
LOVE 32.76 -1.23,(-3.62%)

Earnings info Thursday –
CIEN 48.47 +1.49,(+3.17%)
COST 373.05 -0.38,(-0.1%)
ORCL 59.8 -0.16,(-0.27%)

Earnings info Friday –
AVGO 420.99 +9.31,(+2.26%)
ROAD 27.81 -0.27,(-0.96%)

Commodities/Futures -

Top 5 Highest Commodity % Changes –
1. Coffee,(KC) 118.9 +3.55 (2.99%)
2. Lumber,(LB) 678.6 +18.6 (2.74%)
3. Natural Gas,(NG) 2.575 +0.07 (2.64%)
4. Zinc,(MZN) 2798.5 +55.75 (1.99%)
5. Silver,(SI) 24.727 +0.47 (1.91%)

Top 5 Lowest Commodity % Changes –
1. Orange Juice,(OJ) 123.95 -2.85 (-2.3%)
2. Platinum,(PL) 1036.1 -23.05 (-2.22%)
3. Sugar,(SB) 14.44 -0.27 (-1.87%)
4. Feeder Cattle,(GF) 137.55 -2.22 (-1.62%)
5. Wheat,(W) 575.5 -9.0 (-1.56%)

Spac Corner -

*SPAC ETF is the top 25 SPACS trading above IPO price. SPACs must be trading >5% of IPO Price. SPAC ETF : (1.83%)
Top 5 Highest SPAC % Changes –
1. HCAC- 18.16 4.71 (+35.02%); 52 week high :13.45
2. CIIC- 36.05 8.81 (+32.34%); 52 week high :27.24
3. TRNE- 20.75 3.38 (+19.46%); 52 week high :20.96
4. IPOB- 25.59 3.92 (+18.09%); 52 week high :26.48
5. IPV- 14.28 1.78 (+14.24%); 52 week high :14.32

Top 5 Lowest SPAC % Changes –
1. CAPA- 10.295 -1.205 (-10.48%); 52 week high :11.5
2. RMG- 16.66 -1.68 (-9.16%); 52 week high :18.34
3. STPK- 16.01 -1.0 (-5.88%); 52 week high :17.01
4. BLSA- 10.5 -0.33 (-3.05%); 52 week high :10.93
5. AMCI- 13.14 -0.41 (-3.03%); 52 week high :13.55

Top 5 Spacs by Volume –
1. BFT- 11.95 1.33 (+12.52%); Volume :80,518,128; ADV:632,624
2. HCAC- 18.16 4.71 (+35.02%); Volume :18,199,705; ADV:2,175,151
3. IPOC- 10.94 0.43 (+4.09%); Volume :16,620,657; ADV:2,311,877
4. CIIC- 36.05 8.81 (+32.34%); Volume :15,357,045; ADV:9,331,828
5. GHIV- 10.59 0.27 (+2.62%); Volume :9,627,159; ADV:504,635

Top 5 Spacs Trading Above ADV –
1. BFT- 11.95 1.33 (+12.52%); ADV:632,624: Multiple of ADV:127.28
2. GHIV- 10.59 0.27 (+2.62%); ADV:504,635: Multiple of ADV:19.08
3. TZAC- 11.115 0.215 (+1.97%); ADV:35,055: Multiple of ADV:16.13
4. GNRS- 9.965 0.0 (0.0%); ADV:27,190: Multiple of ADV:13.61
5. SCPE- 10.24 0.04 (+0.39%); ADV:2,204: Multiple of ADV:13.28

Top 5 Highest Warrant % Changes –
1. HCACW- 4.69 1.82 (+63.41%); 52 week high :3.43
2. ESSCW- 0.44 0.1501 (+51.78%); 52 week high :0.3099
3. TZACW- 1.0 0.33 (+49.25%); 52 week high :0.67
4. AMHCW- 1.54 0.45 (+41.28%); 52 week high :1.25
5. CMLFW- 2.94 0.79 (+36.74%); 52 week high :2.5

Top 5 Lowest Warrant % Changes –
1. HOLUW- 1.26 -0.22 (-14.87%); 52 week high :2.0
2. FSRVW- 1.2 -0.18 (-13.04%); 52 week high :1.5
3. STPK+- 3.58 -0.51 (-12.47%); 52 week high :4.09
4. NBA+- 0.57 -0.07 (-10.94%); 52 week high :0.64
5. HCCHW- 7.33 -0.78 (-9.62%); 52 week high :8.11

Dark Pool Summary -

Highest Dark Pool buys by rank –
1. WORK 16 buys totaling 6,308,900 shares. Average Price : 43.04, Cost : $271,543,076
2. FB 1 buys totaling 540,000 shares. Average Price : 286.69, Cost : $154,813,518
3. AMD 3 buys totaling 1,500,000 shares. Average Price : 93.55, Cost : $140,328,750
4. MSFT 1 buys totaling 500,000 shares. Average Price : 214.03, Cost : $107,016,250
5. PCG 15 buys totaling 7,757,265 shares. Average Price : 12.48, Cost : $96,750,832

Options Fast Facts -

CBOE Put/Call Ratio – 0.39
Highest Multiple Over Daily Average – CCJ with 19x the ADV of 5648. There were 101451 calls and 4430 puts.
Ticker with Most Contracts –SPCE with 338054 contracts traded today with an AVD of 146736. There were 285775 calls and 52279 puts.
Largest Put / Call Ratio – XBI with a 6 P/C ratio. There were 46430puts and 7687 calls.
Largest Call / Put Ratio – WBT with a6250 C/P ratio. There were 12501 calls and 2 puts.
*Stocks must be >$6, Highest Multiple must have >1k ADV, Largest ratios must have an option volume >10k

Yesterday's Picks -

SE 198.57 -0.21,(-0.11%)
CLDR 11.79 -0.62,(-5.0%)
AMD 94.08 +0.04,(+0.04%)
SNOW 388.96 +1.26,(+0.33%)

You can find yesterday’s post here.

Momentum Unusual Option Activity

First Momentum Stock Pick -

Ticker:AXTA 29.07,-0.28(-0.95%) Earnings: None
Name :Axalta Coating Systems Ltd Special Considerations :
Industry : Manufacturing Sector : Paint and Coating Manufacturing
Option Information –
Today’s Option Volume: 20343; OptionOI: 43821
Multiple of ADV: 12; ADV: 1715
Total Calls: 17093; Total Puts: 3250
Calls at Ask: 68.0%; Calls at Bid: 17.1%
Puts at Ask: 0.2%; Puts at Bid: 96.7%
C/P Ratio: 5
Noteable Strikes

DEC 18 ’20 31.0C had 1209 VLM and 690 OI.
JAN 15 ’21 32.0C had 13270.0 VLM and 455 OI.

News

No news for today

Potential Sympathy Stocks

PPG, VAL, FOE, SHW

Impression

The Call Ask Percent is very bullish. The Multiple of ADV appears quite bullish. I’d like the C/P ratio to be higher.

Company Description for :AXTA

Second Momentum Stock Pick

Classic Unusual Option Activity

First Classic Unusual Options Activity Pick -

First Classic Unusual Options Activity Pick –

Ticker:TSLA 641.95,42.91(+7.16%) Earnings: None
Name :Tesla Inc
Industry : Automobile Manufacturing

Option Information –

DEC’31 20 690.0C – 289 @ 32.20 were traded at 10:21:00 as a SWEEP Spot Price: 622.62
DEC’31 20 800.0C – 269 @ 14.65 were traded at 13:54:00 as a SWEEP Spot Price: 633.9

News –

2020-12-07 16:40:00:Uber Takes $3 Billion Markdown On Self-Driving Division After Offloading It To Amazon-Backed Aurora
Uber Takes $3 Billion Markdown On Self-Driving Division After Offloading It To Amazon-Backed Aurora Tyler Durden Mon, 12/07/2020 – 16:40 Just days after it was announced that Uber was in advanced talks to sell off its air taxi division, the company has also reportedly “abandoned” efforts to develop its own self-driving vehicle. Uber is going to be transferring its 1200 employee self-driving division to driverless vehicle start-up Aurora, which is backed by Amazon and Sequoia, according to the FT on Monday afternoon. In exchange, Uber will receive a minority stake in Aurora. The move comes at a time when Uber is clearly looking to streamline its operations after the shock of the pandemic. It also comes as self-driving “competitor” Tesla reaches a stunning $600 billion market cap, fueled heavily by nothing but rampant speculation about the company’s future prospects; one of which is self-driving. FT notes that when Uber started its self-driving division in 2016, then-CEO Travis Kalanick called it “basically existential” for the company.
2020-12-07 16:29:00:Stock Market Today: Tesla, Tech Stay on Track, But Dow Dips
With little news on the stimulus front to lift investors’ spirits, the “rotation trade” away from tech and toward more value-priced, cyclical equities took a breather Monday. Wall Street’s attention was on America’s still-worsening coronavirus outbreak, with the country nearing 200,000 new cases daily, and “the blip from Thanksgiving isn’t even here yet,” says Dr. Anthony Fauci, the nation’s top infectious-diseases official. SEE MORE 12 Coronavirus Stocks to Buy That Won’t Let Up Meanwhile, slowing momentum on another COVID rescue plan has some analysts worried that relief will be too late and/or too little. “Even with further stimulus, the potential for some volatility exists if the stimulus package proves insufficient to prevent a series of bankruptcies and financial system strain,” says Tracie McMillion, head of Global Asset Allocation Strategy for the Wells Fargo Investment Institute. “In the very near term, we expect volatility to remain elevated as markets await the Georgia election runoff and remain hopeful for more definitive signs of a viable and much-needed stimulus package out of Washington,” chimes in Frank Panayotou, managing director, UBS Private Wealth Management.

Sympathy Stocks for : TSLA

GM, F, TM, HMC

This stock was mentioned twice on Nov-09-2020 and Nov-17-2020 at a closing price of 421.27and 441.52.

Company Description for :TSLA

(‘TSLA’, ”)

Second Classic Unusual Options Activity Pick -

Ticker:SPCE 33.8,5.06(+17.61%) Earnings: None
Name :Virgin Galactic Holdings Inc – Class A
Industry : Small Arms Ammunition Manufacturing

Option Information –

DEC’18 20 39.0C – 1,400 @ 1.38 were traded at 15:40:00 as a BLOCK Spot Price: 33.24

News –
No news for today

Sympathy Stocks for : SPCE

SPCE, ASTC, AJRD

This stock was also mentioned on Oct-08-2020 at a closing price of 22.09

Company Description for :SPCE

(‘SPCE’, ”)

What are your thoughts?

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