Option Witch | Netflix Analyst Predicts Q4 Subscriber Beat. How to Trade it Before Earnings Report?
$Netflix(NFLX)$ ended 2024 on a high note with two NFL football games, a halftime show by Beyonce, and the return of hit series "Squid Game." But Netflix stock was tackled for a loss to start 2025. Investors are hoping the streaming video leader can get back on track with its quarterly earnings report next week.The Los Gatos, Calif.-based company will report its fourth-quarter results late Tuesday.Earnings Estimates & Analysts OpinionsAnalysts polled by FactSet expect Netflix to earn $4.20 a share on sales of $10.12 billion in the quarter ended Dec. 31. In the year-earlier period, Netflix earned $2.11 a share on sales of $8.83 billion.Wall Street is looking for Netflix to add 8.2 million new subscribers worldwide in the fourth quarter, for a t
Option Witch | Trump Media Stock Back in Sight as Inauguration Nears! 4 Strategies in Focus
$Trump Media & Technology Group(DJT)$ stock is back in sight as Trump's inauguration date approached, whose shares were up about 21% on Monday while slid 8% in the following session.The Truth Social operator's shares, which sometimes move on traders' viewpoints regarding Trump's political fortunes, have more or less treaded water since early December. Now, with Trump set to be inaugurated for a second time next Monday, those traders may once again be looking to buy ahead of a big event. The upward move in "DJT" shares is the latest in a wild recent run for the stock. In the pre-election fall, the shares dropped below $12, weighed down by fears that Trump and other insiders might dump their shares once they became eligible to do so. Since t
Hedge Your Nvidia Positions as Export Curbs, Earnings Uncertainties Linger
Nvidia stock fails to reach new highs recently, combined with recent bearish price action, suggests a potential significant trend change could be afoot. The top changes are the latest earnings projections for its FY Q4, the potential for tighter chip export restrictions.Despite the fundamental uncertainties just mentioned, NVDA's IV is currently at 38.47%, a relatively low level. Thus, it’s reasonable for investors to hedge their positions with low cost or gain exposure with limited total capital exposure ahead of FY Q4 earnings.Source: Tiger Trade AppWhite House Unveils New CurbThe White House unveiled sweeping new limits on the sale of advanced AI chips by Nvidia Corp. and its peers, leaving the Trump administration to decide how and whether to implement curbs that have encountered fierc
Quantum Stocks Under a Cloud? 3 Option Strategies to Navigate the Turbulence
Quantum computing stocks saw sharp declines last week after Huang’s comments, with $IonQ Inc.(IONQ)$ falling 32%, $Quantum Computing Inc.(QUBT)$ dropping 49%, and $Rigetti Computing Inc.(RGTI)$ tumbling 53%.$Meta Platforms Inc.(META)$ CEO Mark Zuckerberg agreed with $Nvidia Corp.(NVDA)$ CEO Jensen Huang‘s cautious outlook on quantum computing, saying that the technology remains years away from practical implementation.“I’m not really an expert on quantum computing, but my understanding is that it’s still quite a ways off from being a truly practical paradigm,” Zuckerberg said.Hi
Options Strategies for Trading Nvidia's New Chips and Record-High Rally
Nvidia Corp. Chief Executive Officer Jensen Huang announced a raft of new chips, software and services, aiming to stay at the forefront of artificial intelligence computing.Shares fell 0.46% in overnight trading though Jensen unveiled more powerful graphics cards. Nvidia stock notched a new record closing high on Tuesday, closing at $149.43, up 3.43%.At CES 2025, a major annual tech conference in Las Vegas, CEO Jensen Huang laid out how the world's second-most valuable firm is bringing technology that powers its lucrative data center AI chips to consumer PCs and laptops.He also introduced what Nvidia calls Cosmos foundation models that generate photo-realistic video which can be used to train robots and self-driving cars at a much lower cost than using conventional data.Huang also unveiled
Tesla's Rollercoaster Ride: 5 Options Strategies to Hedge While Allowing for Upside Potential
$Tesla(TSLA)$ stock roared back 8.22% on Friday, helped by a big price-target boost from a Wall Street analyst. The stock dropped 6.1% last Thursday and closed at $379.28, leaving it down 21% from a record close of $479.86 in December.Tesla reported fourth-quarter deliveries on Thursday, posting a respectable 495,570 vehicles sold. The number was a quarterly record but still fell short of Wall Street estimates by some 10,000 units.Investors are focused more on 2025 right now. Tesla is expected to launch a lower-priced model, helping boost volume growth. The car, due out in early 2025, should start around $30,000 before any federal or state subsidies.Then there is artificial intelligence. Tesla uses AI to train its autonomous driving software and p
Quantum Stocks Skyrocket! 6 Options Strategies to Ride the Wave
Inspired by advances, investor excitement, and speculative trading, quantum computing stocks have lately exploded. $Quantum Computing(QUBT)$ and $Rigetti Computing(RGTI)$ turned out to be two of the biggest winners in 2024 as we close off another wild one for the stock market. QUBT and RGTI stock have skyrocketed 1,712% and 1,449% respectively. Alphabet's revelation of its "Willow" quantum chip—capable of tackling difficult problems in minutes—was a major impetus. Alphabet and other emerging businesses in the niche are positioned as leaders in this fast-evolving sector, which will continue attracting investor attention.Government contracts add to the sector's legitimacy. Further proving the practical uses
Option Witch | How to Play Drone Maker Companies Through Options?
Drone maker companies skyrocketed recently with $SES AI(PDYN)$ soaring over 591% this month. $Ondas Holdings(ONDS)$, $Palladyne AI(PDYN)$ shares more than doubled in December.The Trump name and Elon Musk's preference for drones over traditional jet fighters helped send the shares of a drone maker into the stratosphere.The CEO of Tesla and SpaceX criticized the F-35, a traditional fighter. He called the F-35 design "broken" and "the worst military value for the money in history." That helped send shares of F-35 maker Lockheed Martin down 8.7% this month.Lockheed's loss appears to be a gain for tiny drone manufacturers. Adding to the fervor was news that Donald Tru
MSTR Stock Could Ignore Bitcoin Market Price! 3 Options Strategies for You
Key Points:A married put protects downside of $MicroStrategy(MSTR)$.Selling a put generates income and perhaps a better price to buy more.MicroStrategy has become a prominent Bitcoin owner. Short seller Andrew Left pointed out in a post on X, buying MSTR stock made sense several years ago as a way to invest in cryptocurrency without putting all your eggs in one basket. But now MicroStrategy’s valuation has come unglued from Bitcoin.“Now that Bitcoin investing is ‘easier than ever,’ MicroStrategy’s volume ‘has completely detached from BTC fundamentals,’ Citron wrote in an X post, adding that ‘while Citron remains bullish on Bitcoin, we’ve hedged with a short $MSTR position,” BNN Bloomberg reported. While Left makes the point t
Here's How to Hedge Nvidia Earnings for the Broader Market Risks
Will $Nvidia(NVDA)$’s much-awaited earnings report on Wednesday reignite the AI trade?Investors are positioning for another big run in the graphic-chip maker’s stock following the report. The composite implied volatility of NVDA options soared to 94.9 ahead of earnings, up around 60% from a month ago.Source: Market ChameleonNvidia Options Are Somewhat ExpensiveThe spikes in implied volatility are mostly related to earnings announcements. As the chart shows, the options are beginning to jump higher in terms of implied volatility. The stock price often gaps after the earnings because there are some surprises in the earnings report. Nvidia's dominance in the AI-driven technology trade has turned its earnings into a barometer for overall market sentim