PacWest Bancorp Joins Regional Bank Selloff, Options Traders See Further Downside In Store

Shares of PacWest Bancorp PACW tanked on Tuesday, amid a broader selloff in regional banking stocks.

On CNBC's "Options Action," Michael Khouw of Optimize Advisors said that PacWest Bancorp traded at more than 11 times its average daily put volume on Tuesday.

Analysts have a consensus Overweight rating on PACW, according to Benzinga data.

Check out other stocks making moves in the premarket.

There were buyers of 13,400 of the May 5 weekly 50 puts at an average price of 53 cents per contract, Khouw mentioned. Traders expect the shares of PacWest Bancorp to decline further by Friday expiration, he stated.

PACW Price Action: Shares of PacWest Bancorp fell by 27.78 % to close at $6.55 on Tuesday.

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