Notable Flow Vol. 2
Happy Sunday Folks
Good evening all - I hope you enjoyed your weekend. I may have enjoyed mine a little to much but nonetheless we power forward as someone’s gotta pay the bills. Let’s start getting ready for the week ahead with some interesting flow Kian noted.
Notable Flow:
OKTA 0.00%↑ 110C 11/15 Exp
DELL 0.00%↑ 100P 2/21/25 Exp
NFE 0.00%↑ 10P 10/18 Exp
HIMS 0.00%↑ 20C 2/21/25 Exp
RKLB 0.00%↑ 12C 12/18/26 Exp
FND 0.00%↑ 90P 10/18 Exp
CWK 0.00%↑ 15C 11/15 Exp
OKTA 0.00%↑ 110C 11/15 Exp
Volume: 816 OI: 201 Premium: $314k Fill: 3.85
Large influx of call buying at the close on Friday as we see the net call premiums spike into the close with this whale betting on the stock to move 14% or more to the upside.
Chart checks out as we see a tight weekly bull flag as the whale chose the strike correlating to the peak of the flag, $110. Ideally, OKTA breaks up through the flag pushing towards that 110 level. With a break of 110, we could venture even further to say that it has room to 120+.
DELL 0.00%↑ 100P STO 2/21/25
Volume: 1,016 OI: 363 Premium: $1,046,36 Fill: 10.30
This seems like an earnings trade as Mr. Whale is betting the stock doesn’t see that 100 level anytime soon buying out to February and collecting premiums on the way up. Assuming Dell reports a good quarter paired with a favorable environment and reaction, this should work well. It is worth noting that in the previous report, Dell had less than favorable margins.
Chart looks decent as it found support 88 which is where it previously broke out in Q1 of this year towards ATH’s. Reclaiming the 10/20/200DMA’s respectively, they are poised for more upside assuming things go accordingly. There is resistance overhead from the trendline of the recent breakdown as well as the 115 level.
NFE 0.00%↑ 10P 10/18 Exp
Volume: 5,650 OI: 50 Premium: $387k Fill: 0.38
Similar idea as the previous whale we noted in Gambling Giants betting on the stock leaking lower below support.
Not much to add since that post but updated the chart below.
Same chart as we mentioned in one of our letters last week as someone decides to give Mr. Whale some company in the world of bidless New Fortress Energy. DIPSIDOOOO.
HIMS 0.00%↑ 20C 2/21/25 Exp
Volume: 1,851 OI: 912 Premium: $323k Fill: 1.75
Pretty clean call flow here with a ton of time out to next Feb. Considerably a sizable bet with the strike being 28% OTM and premiums skewed to call-side.
In Q2 of this year, HIMS reported significant revenue growth and a gross profit margin of 81%, although the margin slightly declined due to the launch of its new weight loss offerings. Despite the margin pressures, the company achieved its highest free cash flow in history and continued to expand its service offerings. The weight loss category, in particular, is expected to drive substantial growth in the coming years as the company leverages its technology and personalization capabilities.
HIMS is up a whopping 82% YTD (Friday’s close) with analysts still considering it undervalued. From business models to guidance/outlook, HIMS is in pretty good shape. The chart also displays what could be argued as a very large weekly cup + handle ideally providing a bounce and move to the upside the following two quarters.
RKLB 0.00%↑ 12C 12/18/26 Exp
Volume: 2,558 OI: 0 Premium: $558k Fill: 2.18
Interesting opening trade here as the brokerage added a new and higher strike amid hype on the name with people thinking it’s going to pull a similar move to ASTS in recent days. Paying around 2.18 per contract with steady call premium and hardly any put buyers. Great recipe for a leap position.
Known as a rapidly growing aerospace company, Rocket Lab's stock has been performing well recently, driven by strong demand for its launch services and significant new contracts, including a U.S. government contract worth up to $515 million.
The stock had a sizable breakout this past week gaining 41% at highs. If this can continue through all the profit takers and chasers who got in late, this could have a good run through 7.25. Let it be said this strike is currently ~83% OTM.
FND 0.00%↑ 90P 10/18 Exp
Volume: 4,567 OI: 117 Premium: $675k Fill: 1.48
Mr. Whale woke-up and chose violence right at the opening bell declaring war against Floor and Decor opening a 14% OTM put with 61 days left until expiration. Two egg over easy, few slices of bacon, and a nice avocado toast to pair with his oversized bet on FND performing poorly the next two months.
After nearly a 20% rally from recent lows, this whale is betting the stock rejects the 200DMA overhead and slips back down to the recent base correlating to the strike chosen. Inside day on Friday so it will be telling to see the action tomorrow on this name.
CWK 0.00%↑ 15C 11/15 Exp
Volume: 5,081 OI: 9 Premium: $203k Fill: 0.40
This is considered “suss flow” as it is unusual to see such size on a cheap and 17% OTM strike as we see here unless something is brewing behind the scenes. Typically could have a headline or some sort of news pending that the whale is betting on.
Consolidating after a 37.5% rally from lows, CWK looks poised for another run on a break above the trendline shown. During Friday’s session it held the 20DMA the entirety of the day while the 10/20 respectively begin to curl up providing good technicals for continued upside.
That just about wraps it up for Sunday’s Vol. 2 of Notable Flow. As always we hope you enjoy and find this information useful as we head into the new week. Have a great night and see you all tomorrow. If you enjoyed this read, likes are always appreciated.
Good night,
Kian, Jersace, & Jon