The cannabis company reported losses of 91 cents per share in the third quarter
The Canadian pot sector According to an earnings report from the third quarter of the financial year, a negative price development can be recorded today Aphria Inc (NASDAQ: APHA). According to an analyst from Stifel, the company’s profits “set the tone for a difficult profit season for Canadian producers”. In particular, Aphria announced losses of 91 cents per share, well above the three cents expected by analysts and attributable to sales that were below expectations. On its most recent review, APHA fell 13.6% to trade at $ 14.07 on its way to its worst session loss since February 11th.
With today’s price decline, Aphria stock appears to close below the 80-day moving average for the first time since late November. However, the $ 14 level has seen several setbacks since February and appears to be filling today’s gap. Since the beginning of the year, equity has still increased by around 104%.
In the meantime, options traders are mixing in at a rate that is double what is currently the norm. To date, 46,000 calls and 18,000 puts have crossed the line, a volume that accounts for the 97th percentile of its annual reach. By far the most popular is the April 15th call, when new jobs will be opened.
Looking at the option pits of the past two weeks, APHA’s 10-day put / call volume ratio of 0.59 on the International Securities Exchange (ISE) and the Cboe Options Exchange (CBOE) is above all other annual values. This means that while calls have exceeded the number of puts on an absolute basis, the puts were the fastest accepted all year round.
Now might be a good time to consider these options. The stock is currently rewards at reasonable prices according to APHA’s Schaeffer Volatility Index (SVI) of 104%, which is in the 20th percentile of its annual range. In addition, security is Schaeffer’s Volatility Scorecard (SVS) stands at 91 out of 100, which means Aphria stock has exceeded options traders’ volatility expectations over the past year.