Trade of the Week: ZNGA

Options, Video Games, Videos


Mobile video game maker Zynga (ZNGA) saw significant options activity last week. On a big volume day, ZNGA options traded 9x the normal options volume. 96% of the options action was in calls, which is generally a bullish sign. ZNGA has earnings on February 10th, and this could be a bet that the company is going to report better than expected results. The biggest trade was a market sweep buying over 14,000 of the calls. This trade expires right before earnings, but anticipation for a beat can often send stocks higher ahead of the release.