Meta and Tesla bulls get confidence boost after SpaceX earnings
A big rally in SpaceX after earnings is giving hope to Meta and Tesla bulls ahead of their reports due Wednesday afternoon.
TL;DR
- SpaceX's strong earnings rally is boosting confidence for Meta and Tesla bulls.
- Options trading for Meta shows a strong bullish sentiment, with significantly more calls being bought than puts.
- Meta's options have generally trended bullish since its March low, with a consistent put/call ratio below 1.
- Market-makers are pricing a 6.5% swing for Meta after earnings, slightly below its recent average.
- Tesla's options also show a bullish lean, though with less conviction than Meta, indicated by a higher put/call ratio of 0.75.
- More calls than puts were traded in Tesla, but significant call selling was also noted.
- Call-buying premiums in Tesla exceeded put-buying premiums.
- Market-makers expect a 5.5% swing in Tesla after its report, above its four-quarter median.
- The most traded Tesla contracts by volume were calls expiring Friday, with specific strike prices showing differing buyer/seller preferences.