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Someone Bet 33 Million on SanDisk Calls During a Losing Streak

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Breakdown

0:04SNDK· ticker

SanDisk — calls bought despite losing streak

  • Calls bought for $32.67 million
  • Bullish demand at ask
  • Stock bounces from 161795 to 1726
  • January 15th 1760 calls traded 92 contracts
  • December 18th 1750 calls up 99% of ask
1:56SNDK· ticker

SanDisk — earnings report impact on options

  • Earnings report on October 29th
  • Premiums survive through report
  • December break-even at 1923
  • January break-even at 1949
  • Implied volatility 61-62%
3:43SNDK· ticker

SanDisk — fundamentals and sector trends

  • Average target at 2206
  • Missou raises target to 250
  • Data center revenue up to 38%
  • Contracted backlog $94 billion
  • Stock down 7% in October
5:25lesson

Timing and market response

  • Premiums beyond earnings report
  • Potential rerating by analysts
  • Competition from Toshiba, Western Digital
  • Rising tide lifts all boats
  • AI infrastructure continues to build

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