Call Players Target Facebook Inc (FB) Amid Oculus News

Facebook Inc (NASDAQ:FB) calls continue to be popular

Sep 24, 2015 at 3:09 PM
facebook X logo linkedin


It's a big day in the world of virtual reality (VR), with the second-annual Oculus Connect conference underway in Los Angeles. Specifically, the tech world is buzzing about the new VR gear Oculus -- which was bought by Facebook Inc (NASDAQ:FB) last year for $2 billion -- and Samsung Electronics unveiled, just in time for the holiday season.

The news has FB shares slightly higher -- even though it's not Wednesday -- last seen up 0.1% at $94.07. Meanwhile, in the options pits, traders are showing a preference for calls over puts in today's trading, with both short- and intermediate-term speculators targeting the stock.

Drilling down, eleventh-hour speculators have set their sights on FB's weekly 9/25 85- and 93-strike calls. It seems safe to assume new positions are being purchased, as traders bet on an end-of-week surge for the shares.

Meanwhile, longer-term traders appear to be purchasing new positions at the equity's December 105 call, where 11,000 contracts have changed hands. By buying to open the calls, speculators are betting on a move north of $105 by expiration at the close on Friday, Dec. 18. FB's high-water mark is $99.24, and was hit on July 21.

What's more, FB sports a gamma-weighted Schaeffer's put/call open interest ratio (SOIR) of 0.55. This means near-the-money call open interest nearly doubles put open interest among options expiring in three months or less. 

Elsewhere on the Street, analysts are decidedly bullish on Facebook Inc (NASDAQ:FB). In fact, 27 out of 29 brokerages covering the shares maintain a "buy" or "strong buy" recommendation, with not a single "sell" to be found. Plus, the average 12-month price target of $111.60 represents expected upside of 19% to FB's current price. If the stock hits a rough patch on the charts, a round of downgrades and/or price-target cuts could spell short-term trouble.
 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI