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Calls Hot After Autodesk Earnings Victory

Autodesk stock is near the top of the Nasdaq today

Managing Editor
Aug 24, 2018 at 10:14 AM
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Autodesk, Inc. (NASDAQ:ADSK) stock is up 13.6% to trade at $154.85 today, and earlier scored a fresh record high of $156.95. Driving the stock higher was the software company's second-quarter financial report, which saw earnings and revenue top analyst forecasts. Autodesk also raised the lower end of its 2019 guidance. No fewer than 10 price-target hikes have ensued, including to $180 at Berenberg. 

One of the best stocks on the Nasdaq this morning, ADSK now boasts a 50% lead in 2018. Prior to today's burst, the shares were consolidating below the $140 level, with their 160-day moving average containing a pullback earlier this month. The equity is on track for its best week since March 9. 

In the options pits, Autodesk stock's 10-day put/call volume ratio at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) comes in at 1.12, ranking in the elevated 79th percentile of its annual range. This suggests that during the past two weeks of trading, puts have been bought over calls at a faster-than-usual clip. Meanwhile, ADSK's Schaeffer's put/call open interest ratio (SOIR) of 0.98 surpasses 90% of comparable readings from the past year, showing unusual interest in near-term puts.

Shifting gears to today, though, calls have ramped up. Over 11,000 ADSK calls have traded, 22 times what's typically seen at this point in the day, and volume pacing for an annual high. Leading the charge are the weekly 8/24 155- and 160-strike calls, where it appears new positions are being purchased.

 

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