This morning over 24,000 option contracts traded in Mattel, Inc. (Symbol: MAT) April 19’ 24 expiration. 9,200 of the 22 calls traded at $0.14, 6,000 of the 20 calls traded at $0.57, and 9,100 of the 18 puts traded at $0.49. All three trades occurred at 9:53:35 and MAT was trading at $19.05 at the time. Looking at the NBBO at the time of the trade it looks like the trader sold the MAT 20 and 22 calls and bought the MAT 18 puts. If that is the case the overall delta of the combination was equal to 112,000 shares of stock.
It is unclear if the trade was opening or closing since the open interest in all three strikes is greater than the trade amounts. They may have been closing trades whereas the trader is closing out positions that will expire prior to the next estimated earnings release on April 25th.
MAT is currently trading at $19.01. MAT has a 52-week high of $22.64 and a 52-week low of $15.36.
Source: IBKR TWS. Past performance is not indicative of future results
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Disclosure: Options Trading
Options involve risk and are not suitable for all investors. Multiple leg strategies, including spreads, will incur multiple commission charges. For more information read the “Characteristics and Risks of Standardized Options” also known as the options disclosure document (ODD) or visit ibkr.com/occ
