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Call Traders Blast Spotify Stock After Upgrade

Call volume is running at 29 times the intraday average

Deputy Editor
Jun 21, 2023 at 10:22 AM
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Wolfe Research upgraded Spotify Technology SA (NYSE:SPOT) to "outperform" from "peer perform" this morning, citing price increases and growth in advertising that could helping the streaming staple up its revenue. Comedian Trevor Noah was also announced to be getting his own podcast, exclusive to the streaming platform. In response, SPOT was last seen 3.8% higher at $160.66.

Call volume is running at 29 times the average intraday volume, with 12,000 bullish bets exchanged already today against just 289 puts. New positions are being sold-to-open at the most popular contracts, led by the weekly 6/23 162.50-strike call.

Coming into today, the majority of analysts were already bullish. Of the 23 covering brokerages, 15 rated Spotify stock a "buy" or better, though eight still maintained a tepid "hold" rating.

Right out of the gate, SPOT touched a roughly 15-month high. The 30-day moving average provided upward for much of the year, a time in which Spotify stock has already added 103%.

 

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