Ford Motor Co. (NYSE:F) stock is up 0.4% to trade at $13.70 at last check, after the automaker announced it will pivot into hybrids and extended-range EVs in a move that will cost $19.5 billion. The news comes as the company focuses on producing smaller, more affordable vehicles, resulting in the cancellation of its larger F-150 Lightning EV pickup. Additionally, Ford will launch a battery energy storage system business that repurposes existing EV battery plants in Kentucky and Michigan.
The stock reached a new 52-week high of $13.99 right out of the gate- - its highest level since Oct. 24 -- and is now up roughly 40% for the year. Shares are rising alongside the supportive 40-day moving average, which captured pullbacks earlier this month and in late November.
Options traders lean firmly bullish. F sports a 10-day call/put volume ratio of 4.99 on the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) that stands higher than 98% of all other readings from the past year.
Drilling down to today's options activity, 43,000 calls have been exchanged so far, which is almost triple the number of puts traded and double the intraday average volume. The most popular contract is the December 14 call, followed by the December 13.50 put.
Now looks like an excellent time to weigh in on the stock's next moves with options, as its Schaeffer's Volatility Index (SVI) of 28% ranks higher than just 8% of readings from the last year. In other words, options are affordably priced at the moment.
