Apple Options Show Earnings Surprises Are Unlikely After Warning
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With Apple Inc. trading more than 30 percent below last October’s record high heading into its earnings report, options investors appear to be unenthused about the pending results, especially after the iPhone maker already warned they’ll fall short of previous estimates.
Options prices imply a 5.4 percent change in the share price following the company’s first-quarter report, due to be released after the close of trading Tuesday. That’s slightly higher than the average move of 4.4 percent following the last eight releases. Among contracts expiring this week, 57 percent fall between strike prices of $145 to $165, with calls slightly outweighing puts.