Tag Archives for " twitter takeover rumors "
T3’s Take 3: Twitter Skyrockets on M&A Chatter, Facebook Not so Much
Trade Options Like a Pro… My buddy Doug Robertson is hosting a FREE options trading webinar next week. Doug’s going to be teaching his unique method for creating income with options, so I suggest you check it out. 1) Twitter Blasts Into Orbit This morning, CNBC reported that Twitter (TWTR) may be in talks to be taken over by Google (GOOGL) or Salesforce.com (CRM). While Twitter has been the source of regular takeover rumors for over a year, traders certainly seemed to believe the new chatter. Twitter shares rose an incredible 21.4% to $22.62 today, its best performance in over 2 years, while call options volume exploded. In fact, Twitter call options set a volume record today, surpassing their last record set on December 26, 2013 – when Twitter’s stock price hit an all-time high of $74.73. 2) Markets Take a Break US stocks took a breather today after 4 straight days of gains and a record high in the Nasdaq Composite yesterday. The S&P 500 fell -0.6% to 2164.69 as traders locked in gains. Large cap tech was weak, with Apple (AAPL) falling -1.7% to $112.71 after market research firm GFK said iPhone 7 sales could disappoint. Crude oil dropped -3.2% to $44.85 after Saudi Arabia dismissed reports of an output freeze or cut at next week’s OPEC meeting in Algiers. As a result, oil and energy services stocks led the decliners’ column. Biotechnology, industrials, and financials were also weak. 3) Facebook Suffers a PR Blow Shares of momentum favorite Facebook (FB) took a little dive today after apologizing for an error in its video measurement tools. Facebook mistakenly overstated the average time its users spent watching videos for the past 2 years. This news raises questions about the success of Facebook’s high-profile push into video, and is causing some frustration on the part of advertisers that make decisions based upon Facebook video metrics. However, Facebook said that its miscalculations did not impact customer billings or the number of video views, which should soften the blow to some extent. P.S. Don’t forget to check out Doug Robertson’s options event. Monday’s Trading Calendar US Economics (Time Zone: EDT) 10:00 New Home Sales (Aug): exp. 600k, prior 654k 10:00 New Home Sales MoM (Aug): exp. -8.30%, prior 12.40% 10:30 Dallas Fed Manf. Activity (Sep): exp. -3, prior -6.2 11:45 Fed’s Tarullo Speaks on Next Steps in Bank Stress Testing 13:30 Fed’s Kaplan Speaks in San Antonio Moderated Q&A Global Economics 04:00 EUR German Ifo Business Climate 05:30 CHF SNB Chairman Jordan Speaks 10:00 EUR ECB Pres. Draghi Speaks 19:10 CAD BOC Gov. Poloz Speaks Earnings Before Open: Cal-Maine Foods (CALM) Carnival Corp (CCL) After Close: None of Significance
Continue Reading -->Twitter Options Go Crazy on Takeover Rumors
We’ve seen many, many Twitter (TWTR) takeover rumors I Googled twitter takeover rumor and got 7.94 million results. Benzinga has a great list of 2016 Twitter takeover rumors here. Obviously, they’ve never come true. And anyone who’s been watching the markets for any period of time knows that 99% of takeover rumors are false. But traders are really, really buying into CNBC’s fresh report that Google (GOOGL) or Salesforce.com could buy Twitter. The stock is up 19% to $22.16. This is Twitter’s best day since July 30, 2014. And call options volume is exploding. As of 11:50 a.m. ET, 458,468 calls have traded vs. a 10-day average of 70,403. This is the second biggest day for Twitter call options volume ever. The record is 618,767 contracts, set on December 26, 2013 when Twitter hit its all time high at $74.73. And frankly, the Twitter takeover rumors remind me of the endless takeover rumors that surrounded BlackBerry (BBRY) a.k.a. the artist formerly known as Research In Motion (RIMM). Interestingly enough, T3 Live did a Twitter poll (ironic, huh?) asking if Twitter will receive a takeover offer. 60% say yes: But I’ll only believe this when I see it.
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