Yesterday, just two hours before ChargePoint earnings were released, a whale took a big bite out of 2DTE ChargePoint put options. That whale picked up 10,000 OTM put options at the $6.50 strike for an average price of $0.18 per contract, with the stock trading at $7.10.
Then, ChargePoint released the news:
A top and bottom line earnings miss, featuring a -82.74% EPS downside surprise. In other words — the company lost nearly twice as much money this quarter as analysts expected. The stock didn’t take the news very well:
From the point of sale to the low of today’s trading, ChargePoint fell more than 30% overnight to briefly trade under $5.00 before recovering some of those losses later in the day.
As a result, the $6.50 strike puts in ChargePoint expiring tomorrow traded as high as $1.52 today (from an average trade price of just $0.18) — +744% at their peak.
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Billed Annually at $995