Global Blood Therapeutics Stock Options Hot During Sell-Off

GBT options are crossing at seven times the average intraday pace

Jun 14, 2019 at 2:37 PM
facebook X logo linkedin


Global Blood Therapeutics Inc (NASDAQ:GBT) stock is down 10.1% to trade at $51.70, after the California-based biopharmaceutical firm presented data for its sickle cell disease (SCD) treatment. While voxelotor met its main goal in a late-stage study, some are questioning its ability to create benefits for patients. Amid today's big move, GBT options traders are active, with volume running at seven times the expected intraday pace.

With about 90 minutes left in today's trading, 12,000 calls and 4,500 puts have changed hands, with volume pacing in the 99th annual percentile. The June 50 put and 60 call are most active, with more than 7,300 contracts collectively on the tape. The bulk of the action at each front-month strike has gone off at the ask price, though it's not clear if positions are being opened or closed here.

Widening the scope, it's been put buyers who have been busier than usual in recent weeks. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), GBT's 10-day put/call volume ratio of 0.49 ranks in the 84th annual percentile. So, while calls have outpaced puts on an absolute basis, the rate of put buying relative to call buying has been accelerated.

Analysts, meanwhile, are overwhelmingly bullish on GBT, with 13 of 14 in coverage maintaining a "strong buy" rating. Plus, Guggenheim earlier said, "we would be buyers on any weakness," while Cantor Fitzgerald raised its price target to $110 from $96, well above the average 12-month price target of $92.31.

Looking closer at the charts, GBT stock has rallied hard off its late-November test of the $30 mark, topping out at a May 30 15-month peak at $63. Today's drop has the shares on track to close below their 80-day and 120-day moving averages for the first time since late December.

gbt stock daily price chart june 14

 

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