Tuesday, October 13, 2020 3:13:56 PM
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Kala Pharmaceuticals shares, but what is the fundamental picture for the company? Currently, Kala Pharmaceuticals is a Hold in the Medical - Biomedical and Genetics industry that ranks in the 26% range. Over the last 60 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward.
Given the way analysts feel about Kala Pharmaceuticals right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Recent KALA News
- KALA BIO Reports Fourth Quarter and Full Year 2023 Financial Results and Provides Corporate Update • GlobeNewswire Inc. • 03/29/2024 12:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 03/04/2024 12:30:19 PM
- KALA BIO to Present at TD Cowen 44th Annual Healthcare Conference • GlobeNewswire Inc. • 02/26/2024 01:00:00 PM
- Form SC 13G/A - Statement of acquisition of beneficial ownership by individuals: [Amend] • Edgar (US Regulatory) • 02/14/2024 06:09:11 PM
- KALA BIO to Present at Oppenheimer 34th Annual Healthcare Life Sciences Conference • GlobeNewswire Inc. • 02/06/2024 01:00:00 PM
- KALA BIO Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4) • GlobeNewswire Inc. • 01/19/2024 09:01:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/05/2024 09:07:04 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/05/2024 09:06:08 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/05/2024 09:04:02 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 01/05/2024 09:03:18 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 12/22/2023 01:22:45 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 11/13/2023 01:10:42 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 11/13/2023 01:05:17 PM
- KALA BIO Reports Third Quarter 2023 Financial Results and Provides Corporate Update • GlobeNewswire Inc. • 11/13/2023 01:00:00 PM
- Form SC 13D/A - General statement of acquisition of beneficial ownership: [Amend] • Edgar (US Regulatory) • 10/18/2023 08:04:57 PM
- KALA BIO Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4) • GlobeNewswire Inc. • 09/20/2023 08:01:00 PM
- KALA BIO to Present at H.C. Wainwright 25th Annual Global Investment Conference • GlobeNewswire Inc. • 09/05/2023 12:00:00 PM
- KALA BIO Reports Second Quarter 2023 Financial Results and Provides Corporate Update • GlobeNewswire Inc. • 08/04/2023 12:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/02/2023 08:01:10 PM
- KALA BIO to Participate in Upcoming Investor Conferences in August • GlobeNewswire Inc. • 08/02/2023 08:01:00 PM
- Kala Pharmaceuticals Announces Name Change to KALA BIO • GlobeNewswire Inc. • 08/02/2023 12:00:00 PM
- Kala Pharmaceuticals Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4) • GlobeNewswire Inc. • 07/19/2023 08:01:00 PM
- Kala Pharmaceuticals Reports Inducement Grants Under Nasdaq Listing Rule 5635(c)(4) • GlobeNewswire Inc. • 06/23/2023 08:01:00 PM
- Kala Pharmaceuticals to Present at the Jefferies Healthcare Conference • GlobeNewswire Inc. • 06/02/2023 12:00:00 PM
Avant Technologies Equipping AI-Managed Data Center with High Performance Computing Systems • AVAI • May 10, 2024 8:00 AM
VAYK Discloses Strategic Conversation on Potential Acquisition of $4 Million Home Service Business • VAYK • May 9, 2024 9:00 AM
Bantec's Howco Awarded $4.19 Million Dollar U.S. Department of Defense Contract • BANT • May 8, 2024 10:00 AM
Element79 Gold Corp Successfully Closes Maverick Springs Option Agreement • ELEM • May 8, 2024 9:05 AM
Kona Gold Beverages, Inc. Achieves April Revenues Exceeding $586,000 • KGKG • May 8, 2024 8:30 AM
Epazz plans to spin off Galaxy Batteries Inc. • EPAZ • May 8, 2024 7:05 AM