Earnings season opens this week with options traders positioning across several high-profile names ahead of key reports.
DAL kicks things off Tuesday. Short interest sits at just 3.5% of free float. That low bearish positioning suggests options traders may be hunting calls rather than buying downside protection. Earnings trades in airlines tend to be binary and fast-moving.
PEP reports the same day. Short interest is a mere 2.2%, and shares to borrow are widely available. The consumer staples giant faces a tough macro backdrop with Citi forecasting lower oil — a marginal tailwind — but weak consumer spending weighs.
Defense names are drawing attention too. Trump's push for a $350 billion defense package put LMT on the radar Monday. Short interest is just 1.6% — traders are not betting against it. Options activity around defense catalysts can spike sharply on legislative news.
The bearish side has two standouts. CHWY carries a massive 71% short interest as a percentage of free float. That extreme reading makes it a prime target for put-heavy positioning and squeeze risk simultaneously. — CoreWeave — sits at 29.4% short, with bears piling in further according to today's ORTEX data.
CRM rounds out the watch list. A $1 billion Switzerland AI investment announcement dropped this morning. Short interest is modest at 4.9%, and availability is extremely high at over 1,500% of SI — meaning fresh shorts face little friction entering new positions.
ORTEX Market Intelligence content is generated by AI from a snapshot of ORTEX's proprietary data. Content is informational only and does not constitute investment advice.
