Options Traders Target Sony Stock After Major Sector Shakeup

Options volume on Sony stock is red-hot today

Deputy Editor
Jan 19, 2022 at 10:33 AM
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The shares of Sony Group Corp (NYSE:SONY) are down 3.7% to trade at $111.61 at last check, following yesterday's news that Microsoft (MSFT) is acquiring Activision Blizzard (ATVI) for $68.7 billion, marking the biggest deal in the video game sector's history The acquisition is leading to headwinds for Sony stock, as it would increase pressure on the company's PlayStation, which is widely seen as the frontrunner in the generational battle between Sony and Microsoft.

Yesterday, SONY locked in its worst single-day percentage drop since the pandemic-induced broad-market selloff of March 2020. Today's negative price action has the equity trading at its lowest level since October 2021, a noteworthy dip considering the shares started 2022 by soaring to $133.75 -- their highest level since 2000. Year-over-year, Sony stock maintains a 9.5% lead.

SONY's typically quiet options pits are exploding with activity in response to all the news. So far today, 3,533 puts and 2,227 calls have exchanged hands, which is nine times the intraday average. New positions are being sold to open at the two most popular contracts, the January 90 and 92.50 puts.  

 

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