Notable Options Activity in Time Warner (TWX) Targets Downside Protection, Amid Regulatory Concerns with AT&T (T) Deal -Susquehanna
Susquehanna options strategist Alison Edwards highlights options investors seeking downside protection in Time Warner (NYSE: TWX) amid regulatory concerns with the AT&T (NYSE: T) deal, as the biggest volume today involves investors selling downside protection in Nov and Jan 2018 (some closing) and buying it in Jun 2018. Most notably, a rolling investor bought 30k Jan/Jun 90 put spreads, paying $2.68 to extend their hedge to Jun. Also, an investor sold 10k Nov 85 puts at $1.30 vs. buying 10k Jun 70/90 put spread for $7.52 (caps downside exposure at $70).