Options Traders See Coty's Stock Falling This Much By November Expiration

Coty Inc. COTY shares traded higher in the premarket session on Tuesday after of the company’s earnings release on Aug. 22.

On CNBC’s "Options Action,"  Mike Khouw of Optimize Advisors said Coty traded 14x its average daily options volume on Monday.

Options markets are implying a move of around +/-10% by the end of the week.

Don’t forget to check out our premarket coverage here

There were buyers of 14,700 of the November 9-puts at an average price of 31 cents per contract, Khouw mentioned.

Traders see Coty’s stock falling at least 20% by November expiration.

Coty reported quarterly earnings of 1 cent per share, compared to a year-ago loss of 1 cent per share. The company reported Q4 revenue of $1.35 billion.

Price Action: Coty shares fell 2.8% to close at $10.97 on Monday, but added 0.8% in Tuesday's premarket trading session.

Check This Out: Lowe's, Dick's Sporting Goods And 3 Stocks To Watch Heading Into Tuesday

Photo: Shutterstock