Blogging Options: CBOE Morning Update

Stock Mover’s:
 
Walgreen (WAG) is recently trading lower in pre-open trading following Q3 EPS 65c vs. consensus 62c on Q3 revenue $18.4B vs. consensus $18.33B. Overall option implied volatility of 28 is above its 26-week average of 26.

Express Scripts (ESRX) is recently trading lower in pre-open trading following Walgreens announcing that contract renewal negotiations with pharmacy benefit manager Express Scripts have been unsuccessful, and as a result the company is planning not to be part of Express Scripts’ pharmacy provider network as of Jan. 1, 2012. Overall option implied volatility of 27 is near its six-month average.
 
 
Volatility as an asset class:
 
Jabil Circuit (JBL) overall option implied volatility of 48 is above its six-month average of 43 into the expected release of Q3 results today after the market close.
 
Blackboard (BBBB) overall option implied volatility of 56 is above its six-month average of 38 suggesting larger price movement.
 

CBOE significant put volume increases
 
BAC July 10 8K contracts
DELL November 14 8K 
INTC August 21 5K
BAC January 2013 2.5 4K
RIMM June 25 4K
ARIA November 6 4K