Jae C. Hong/Associated Press
Tesla shares are set to move as much as 11.1% over the two days following its Wednesday afternoon earnings announcement, options data from Trade Alert shows.
The estimate measures an options strategy known as a straddle, through which traders buy both put and call options to bet on the size of a stock move by a certain date.
There's less open interest activity in near-term puts ahead of the Wednesday report compared to the quarter prior, according to Trade Alert.
The data suggests traders aren't betting as heavily on an earnings miss.
Watch Tesla trade live here.
Tesla's last couple months featured
outsize stock jumps,
glamorous new superlatives, and
thwarted short-sellers. The automaker's upcoming earnings report is poised to keep the stock's volatility alive and well.
The options market projects a move in Tesla shares as large as 11.1% in the two days following the company's earnings report, according to
Trade Alert data. The estimate measures an options strategy known as a straddle, which involves traders buying both put and call options to gamble on the size of a stock move by a specific date.
Traders are also showing less open interest in near-term put options ahead of the Wednesday report, compared to the same period last quarter, Trade Alert found. The data suggests traders aren't betting as aggressively on an earnings miss, despite the stock's 39% gain year-to-date.
