Google Options Turn Bearish After Schmidt’s Stock Sale
Bearish trading in Google Inc. options rose to its highest level relative to bullish bets in three months Monday, after the company reported Friday Executive Chairman Eric Schmidt plans to sell Google shares valued around $2.5 billion over the next year.
The ratio of trading in bearish “put” options, which grant the buyer the right to sell stock at a set price, relative to activity in bullish options, which convey the right to buy, rose to 1.31 to one. That was the highest level since November. Trading in puts was on track to finish at 23% above the daily average as of midday Monday, according to options-data firm Trade Alert.
