Notable Wednesday Option Activity: CVNA, NTAP, SIG

NetApp (NTAP) and Signet Jewelers (SIG) are experiencing significantly elevated options trading volume today, with NTAP's volume at 68% and SIG's at 67.3% of their respective average daily stock trading volumes. Notably, both companies are seeing substantial activity in their $95 strike put options expiring in late 2025, with 1,049 contracts for NTAP and 2,420 contracts for SIG, suggesting increased hedging or bearish sentiment targeting these price levels.

Analysis

NetApp (NTAP) and Signet Jewelers (SIG) are both experiencing unusually high options trading volume, representing a significant portion of their average daily equity volume. Specifically, NTAP's options volume of 11,069 contracts equals 68% of its average daily share turnover, while SIG's 5,665 contracts amount to 67.3% of its daily average. The activity is highly concentrated in long-dated put options at the $95 strike price. For NTAP, 1,049 contracts were traded for the October 2025 $95 put, and for SIG, a substantial 2,420 contracts were traded for the September 2025 $95 put. Such a large, specific, and long-dated put volume can be interpreted in two primary ways: either as significant bearish speculation by traders betting on a long-term decline below the $95 level, or as a substantial hedging operation by large investors seeking to protect existing long positions against future downside risk. The concentration on this specific strike price establishes it as a key level of interest for both stocks in the options market.

Key Decisions for Investors

• Investors should recognize the $95 level as a significant psychological and technical threshold for both NTAP and SIG, given the large volume of put options establishing it as a key area of market interest.
• The unusual activity warrants investigation into potential long-term catalysts that could negatively impact these stocks, as the late-2025 expiration dates suggest a view beyond near-term events.
• Holders of long positions in either stock might consider this a signal to review their risk exposure and evaluate the cost-benefit of implementing protective strategies, such as purchasing puts or selling covered calls.