Netflix Stock Faces Heavy Put Activity as $2.8M Bet Targets $70 Strike Into January 2027
By TrendSpider Editor
Netflix, Inc. is drawing significant attention in the options market Tuesday, with a dominant bearish posture emerging across three unusual contracts totaling $3,343,436.60 in combined premium. Shares are trading at $73.70, up just 0.50% on the session, but sitting much closer to the 52-week low of
Netflix Stock Faces Heavy Put Activity as $2.8M Bet Targets $70 Strike Into January 2027
Netflix, Inc. is drawing significant attention in the options market Tuesday, with a dominant bearish posture emerging across three unusual contracts totaling $3,343,436.60 in combined premium. Shares are trading at $73.70, up just 0.50% on the session, but sitting much closer to the 52-week low of $65.095 than the 52-week high of $126.71, a gap that underscores how far the stock has retreated over the past year. The options flow suggests at least some large traders are positioning for continued downside or hedging existing exposure at meaningful size.
Key Drivers of the NFLX Stock Move
- Main Catalyst: Three unusual options contracts hit the tape today with a combined premium of $3,343,436.60. Two are puts targeting the $70 strike, and one is a call at $75. The single largest contract is a PUT at the $70 strike expiring January 15, 2027, carrying $2,800,000 in premium at a size of 5,000 contracts. A second PUT at $70 expiring August 28, 2026 printed 3,806 contracts at $479,936.60 in premium. The lone CALL at $75 expiring August 14, 2026 was 500 contracts at $63,500.
- Bull Case: The single call contract at the $75 strike expiring August 14, 2026 represents a near-term bet that NFLX can push above its current price of $73.70 within the next 10 days. If the stock reclaims $75 and builds momentum, it would mark a move away from the lower end of its 52-week range. Additionally, the heavy put volume could be read as protective hedging by institutional holders rather than an outright directional short bet.
- Bear Case: The August 28 PUT at $70 printed with an open interest percentage of 522%, meaning the volume on this contract was more than five times the existing open interest, a classic signal of fresh, aggressive positioning rather than a hedge. The January 2027 PUT at $70 adds a longer-dated layer of bearish conviction, with $2,800,000 in premium committed to a strike that sits just 4.9% below the current price of $73.70, well within reach given the stock's proximity to its 52-week low of $65.095.
With two of the three contracts positioned at $70 and the current price at $73.70, Netflix is trading in a zone where a relatively modest pullback would push shares into the money on those puts. The stock is already trading in the lower third of its 52-week range of $65.095 to $126.71, which limits the upside cushion for bulls. The near-term call at $75 expiring August 14 is the most pressing trade to watch this week, as it implies some expectation of a quick pop before the end of next week. Whether that materializes or the bearish put flow proves prescient will likely hinge on any macro catalysts or company-specific developments that surface in the days ahead.
NFLX Unusual Options Activity
- Contract 1: PUT | Strike: $70 | Expiry: January 15, 2027 | Volume: 5,000 | Open Interest: 22% of OI | Premium: $2,800,000 | Status: OTM
- Contract 2: PUT | Strike: $70 | Expiry: August 28, 2026 | Volume: 3,806 | Open Interest: 522% of OI | Premium: $479,936.60 | Status: OTM
- Contract 3: CALL | Strike: $75 | Expiry: August 14, 2026 | Volume: 500 | Open Interest: 14% of OI | Premium: $63,500 | Status: OTM
The August 28 PUT stands out for its extraordinary open interest ratio of 522%, indicating the trade represented a surge of new activity into a previously lightly traded contract. The January 2027 PUT is notable for the sheer dollar size of the premium deployed, at $2,800,000, suggesting institutional-level commitment to a bearish or protective thesis extending more than five months out.
NFLX Seasonality
August has historically been a mixed month for Netflix stock, often influenced by post-earnings digestion and broader summer trading volume patterns. With the stock already near the lower end of its annual range heading into the back half of August, seasonal pressure combined with today's bearish options flow could make the $65 to $70 support zone a key area to monitor in the coming weeks.
NFLX Relative Performance
Netflix is trading at $73.70 today, up just 0.50% on the session, a modest gain that still leaves shares well below the 52-week high of $126.71. At current levels, NFLX is approximately 41.8% off its annual peak, reflecting significant underperformance relative to where the stock was trading at its best levels over the past year. The stock's proximity to its 52-week low of $65.095 suggests it remains in a technically vulnerable position compared to broader consumer discretionary and large-cap tech peers that have fared better across the same period.
More on NFLX
- Netflix Sees Unusual Bullish Options Activity as Two Large Call Sweeps Target Deep OTM Strikes Through 2028
- Netflix Unusual Options Activity: A $1.6M Call Bet Points to Upside as NFLX Trades Near 52-Week Lows
- Netflix, Inc. Stock Slides 1.1% in Notable Trading Session
- Netflix, Inc. Stock Slides 1.8% in Notable Trading Session
- Netflix Beats Q2 2026 Earnings Per Share but Revenue Miss Sends Stock Below 52-Week Low
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