The security has tumbled since its January record high
Though Ford Motor Company (NYSE:F) started out 2022 with a bang, surging to a Jan. 13, all-time high of $25.87, the security has been tumbling down the charts since. The shares are fresh off a June 17, one-year low of $10.90, while the descending 40-day moving average has guided the security lower for most of the year. With a new ceiling potentially forming at the $12.50 level, Ford Motor stock is down 42.8% year-to-date.
This recent underperformance has options bears tuned into Ford Motor stock. In fact, the security just appeared on Schaeffer's Senior Quantitative Analyst Rocky White's list of names that have attracted the highest weekly options volume in the past two weeks. Per this data, 1,573,836 calls and 1,689,534 puts were traded within this two-week time period. The July 15 put was the most popular contract, followed closely by the 11 put in that same monthly series.
What's more, at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), Ford motor stock sports a 10-day put/call volume ratio of 1.38 that stands higher than 97% of other readings from the past year.
Analysts are already skeptical towards the security, with 11 of the 15 in coverage rating F a tepid "hold" or worse, while four say "strong buy." This still leaves a little room for downgrades, though, which could pressure Ford Motor stock even lower.
Options look like a solid way to weigh in on the equity's next moves. This is per the F's Schaeffer's Volatility Scorecard (SVS) of 88 out of 100, which indicates the stock has consistently realized bigger returns than options traders have priced in over the last 12 months.