Netflix Options Volume Soars: 3.9 Million Calls, 2.8 Million Puts Traded
Investors traded 3.9 million Netflix calls and 2.8 million puts in ten days, led by the May 68 call, with a 50-day call/put ratio of 3.04—the highest in a year. The $83 billion all-cash Warner Bros. Discovery acquisition and a forward P/E of 3.34 underpin analyst targets of $116.08, implying 41% upside.
1. Options Activity Post-Earnings
Following a post-earnings drop and consolidation above the $80 level, investors exchanged over 3.9 million Netflix calls and 2.8 million puts in ten days, with the May 68 call seeing the most action. The 50-day call/put volume ratio of 3.04 ranks highest in a year, while implied volatility sits in the 6th percentile, indicating subdued premium pricing.
2. Acquisition Deal and Valuation
Netflix amended its Warner Bros. Discovery takeover to an all-cash $83 billion transaction, contributing to a near 40% slide from its June 2025 peak and a 10% year-to-date decline. A forward P/E of 3.34 compared with a trailing 12-month P/E of 32.53 supports analyst targets of $116.08, suggesting 41% potential upside.