Deere & Company (NYSE:DE) reported quarterly earnings Friday morning, reporting second-quarter earnings of $6.81 per share against a $6.71 Street estimate and sales of $13.37 billion against a $13.2-billion estimate.
On CNBC's "Options Action," Mike Khouw of Optimize Advisors said the stock traded 7 times its average daily put volume on Thursday. The market is implying a move of 6.8%, significantly higher than the average of 3.7% over the last eight quarters, he added.
Check out stocks making big moves in the premarket.
There were buyers of 1,742 of the May 350 puts at $6.60 per contract on average, Khouw mentioned. Traders see Deere’s stock retreating by at least 6% after their earnings release on Friday, he mentioned.
DE Price Action: Shares of Deere declined by 1.17% to settle at $364.62 on Thursday. However, the stock has added more than 4% year to date, outperforming the industrials and the S&P.
