5 Stocks With Unusual Options Activity (CHK, AMD, HCA, NCR, PVA)

Unusual Options Activity for June 25 2015

Here’s a quick look at 5 stocks showing unusual options activity with some color around the trading setups and recent news about the companies.

Advanced Micro Devices (AMD) – Roughly 14,000 Aug $2.50 calls were purchased for $0.30. AMD is rumored to be looking at separating/ spinning off part of the business, but they have so far denied the Reuters report. AMD Micro Devices is scheduled to report Q2 earnings on July 16th.

Chesapeake Energy (CHK) – A likely rollout from 5,000 Jan 2016 $12 puts ($2.07 credit) into 10,000 Jan 2016 $10 puts ($1.06 debit). Chesapeake (CHK) is down for the 5th consecutive week, but doesn’t have any major support until the 2008 lows near $8.50. Analyst EPS estimates for 2015 and 2016 have worsened in recent months, falling to -$0.16 from +$0.04 for this year. Here’s a long-term chart of CHK.

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chk chesapeake energy stock chart june 24 2015

HCA Holdings (HCA) – The July 17 $85/$92.50 bull call spread was closed out 4,080 times for a $4.30 credit. They put this on yesterday for $1.95 debit. Hospital stocks (including HCA) rallied around 10 A.M. EST today, following the SCOTUS ACA ruling.

NCR Corp (NCR) – The July $31/$33 bull risk reversal was put on 5,000 times for a $0.15 debit. Private Equity firms are reportedly interested in acquiring the company.

Penn Virginia (PVA) – 4,000+ July $5 calls have traded with the majority being bought for $0.25-$0.40, against open interest of 5,372 contracts. There were rumors of BP looking at acquiring Penn Virginia for $8 per share today.

Thanks for reading.


Read more from Mitchell on his options blog.

Twitter:  @MitchellKWarren

No position in any of the securities mentioned at the time of publication.  Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.