Post-Earnings Put Players Pounce on Popping Halliburton Company (HAL)

Halliburton Company (HAL) is nearly 4% higher in the wake of its earnings report

Apr 20, 2015 at 11:10 AM
facebook X logo linkedin


Similar to sector peer Schlumberger Limited (NYSE:SLB), Halliburton Company (NYSE:HAL) is notably higher in the wake of its earnings report. Specifically, the stock is up 3.9% at $48.73, after HAL reported better-than-expected first-quarter results, despite an "unprecedented decline" in North American drilling. In the equity's options pits, however, puts are trading at four times the average intraday pace, with a number of speculators rolling the dice on an end-of-week retreat.

Diving deeper, HAL's weekly 4/24 47- and 48.50-strike puts have garnered the most attention, with almost 9,800 contracts on the tape thus far. It seems safe to assume new positions are being purchased here, as traders bet on the security breaching the respective strikes by Friday's close, when the weekly series expires. Delta on the higher-strike put is docked at negative 0.49, suggesting a 49% chance of an in-the-money finish. Meanwhile, delta on the lower strike is perched at negative 0.20.

Today's accelerated put activity is just more of the same for the stock, per data from the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). Echoing this put-skewed preference is HAL's Schaeffer's put/call open interest ratio (SOIR) of 1.03, which ranks in the 87th annual percentile. In other words, short-term speculators have been more put-heavy toward the equity just 13% of the time within the past year.

Technically speaking, HAL has been on the mend since hitting an annual low of $37.21 in mid-December, up 31%. What's more, today's post-earnings pop has Halliburton Company (NYSE:HAL) on pace to notch its first daily close north of its 160-day moving average since Sept. 30.

Daily Chart of HAL Since September 2014 With 160-Day Moving Average
 

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