Huge number of contracts...Does this mean that people actually strongly believe that SODA will drop to less than 25 after the earnings? Unbelievable!! I was going to buy some May Calls but I'm thinking of using the strangle options strategy by buying some Puts as well just to hedge a bit. What do you guys think?
I have never followed soda, but does seem like it has been smacked down with fears from gmcr and bears feeling emboldened by what happened by gmcr. Certainly seems like a setup for a short squeeze if they report something decent, but if the hype gets to big may want to use a strategy to profit on exagerated implied volatility
Puts will be waste of money, but if you buy, wait until late tuesday to get a better deal. Buy calls now, puts later if you are scared. I think the downside is so very limited that puts bought now offer very little value.