21st Century Fox options active as shares reach new highs
21st Century Fox options active as shares reach new highs. The stock adding 51c to $48.59, now up 26% MTD, following several bids for Fox assets from Comcast (CMCSA) and Disney (DIS). Recent (unconfirmed) reports suggest highest bidder Disney is near US approval for the acquisition. In option action, one player bought 15K Jul - Jan 46 put spreads on FOXA for $1.225. The same play was opened 35K yesterday and is likely a deal hedge - as it expresses the view that shares will hold above 46, or not fall more than 5.3%, through the expiration in four weeks, but possibly fall below that level by early-2019. Similarly, 15K Jul 47 - Jan 43 puts spreads trade for 35c. Also, 5K Jul 38 calls at $10.80 along with 7.5K Jul 41 calls for $7.80 probably closes a matching 2X3 opened 5/18 with the stock at $37.60. Aug 49, Jul 50, and Jul 48 calls also seeing interest today. Total volume 2X daily average at 61K puts and 22K calls. Lastly, 30-day IV up 4% to 23.