As the world’s biggest company by value - Apple Inc.(NASDAQ:AAPL), is all set to report its third quarter earnings after the market close today, we have noticed several unusual call buying activities, most of them are out-of-the-money call.
The most active contract is July call with strike price of $620 with more than 14.20K contract has been traded and open interest stood at 8.85K. Also, July call with strike price of $610 with more than 11.53K contract has been traded and open interest stood at 8.60.
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Moreover, more than 10K call contracts have been traded for a strike price of $650, trading at a premium of $1.19, signaling that those contracts will become profitable should the stock reach a new record high. Also, July call with strike price of $660 with more than 8.70K contract has been traded and open interest stood at 2.23.
Here are top five call Buying options for the months of July:
Playing in options can be considered as a safe bet for trading AAPL since since this time there are lot of uncertainty in upcoming earnings with several analysts have reduced their earnings forecast for the third quarter on expectations that the company’s sales could be hurt due to an expected launch of iPhone5 by this year. Well, these are just expectations, what if, APPL reports higher than anticipated earnings and revenue? Probably, the stock could move back to its new highs.
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Average analysts are estimating the company to report $10.36 a share in earnings and revenue of $37.18 billion. In a year ago quarter, the company had $7.79 a share on revenue of $28.57 billion. However, whisper earnings are estimating the company to report $11.89 a share. Not only profit and revenue is going to be critical, investors and analysts around the globe would look for the company’s sales of iPhone, which contributes the majority of revenues.