Why Someone Just Bought $19.4M in Micron Puts

Micron is at all-time highs. Someone just bought $19.4 million in puts. Two trades. Two strikes. Both expiring after earnings on June 24th. The first trade targets the $1,000 strike about 8 percent out of the money. The second targets $870 about 20 percent out of the money. That is a tail risk bet. And it is not crazy. On June 3rd Micron went from $1,089 to $864 in two days. The street is raising targets to $1,625. Revenue expected up 263 percent year over year. EPS up 665 percent. Forward PE still below 10. Someone sees that and still pays nearly $20 million to bet it comes down. Signal or noise? 📊 tastylive: https://www.tastylive.com/ 📰 Get Tom Preston's pre-market analysis every morning: https://www.tastylive.com/newsletters 📘 FREE Options Strategy Guide: https://tinyurl.com/bp9ms763 📱 Follow tastylive on X: https://x.com/tastyliveshow Chapters 0:00 Micron at all-time highs and someone bought $19.4M in puts 0:45 Street raising targets: UBS $1,625 TD Cowen $1,500 1:09 Trade one: $1,000 puts 8 percent out of the money 1:47 Spray trade mechanics: 59 lots all on the ask 3:24 Trade two: $870 puts 20 percent out of the money 4:03 Micron dropped from $1,089 to $864 in two days in June 4:29 Why you pay this much premium on a volatile stock 5:08 Earnings June 24th: why these puts expire after the report 5:33 Revenue up 263 percent EPS up 665 percent PE below 10 6:05 Jermal's verdict: the beginning of a signal #Micron #OptionsTrading #SignalVsNoise #tastylive #PutOptions #AIStocks #MicronEarnings #SmartMoney tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we'll help you take your trading to the next level, whether you are new to trading or a seasoned veteran. tastylive content is created, produced, and provided solely by tastylive, Inc. ("tastylive") and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor