📈 NVIDIA options are pricing in a 6% move after earnings.
The options market is forecasting that NVDA could move about 6% in either direction by the end of this week.
If it rises 6%, the stock could go up to around $225, getting close to the ATH of $236 from May.
If it falls 6%, NVDA could drop back to around $202.
But what’s noteworthy is that the market isn’t only focused on whether NVIDIA can keep growing revenue.
The bigger question is whether the hyperscalers will continue to sustain their massive AI spending, and how much NVIDIA can reduce its dependence on a single large group of customers.
NVDA is up about 14% year-to-date, but still about 10% below the May peak.
With earnings just out, this kind of volatility could become one of the biggest tests for the AI trade.
6% up or 6% down. Wall Street basically bought a coin flip with options. 💀
Do you think NVDA will break $225 or revert to $202 after earnings?
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