Digital Realty Trust Options Trading Insights for Investors

Analysts highlight new options trading data for Digital Realty Trust (DLR). The insights reveal potential investment strategies via put and call contracts that could influence stock behavior in the near future.

Date: 06-02-2025

AI Rating: 6

Options Trading Overview

Digital Realty Trust Inc (DLR) has recently seen new options contracts begin trading, which may signal shifts in investor sentiment and stock volatility. The analysis of the options chain indicates possible strategic moves for investors looking to engage with DLR shares.

Put Options Insight

The $165.00 put contract, at a bid of $4.30, offers buyers the chance to acquire shares at a cost basis of $160.70, which is an attractive alternative to the current market price of $168.00. This could indicate a strategic move for investors anticipating future price corrections. Additionally, the contract being out-of-the-money by approximately 2% with a 59% chance of expiring worthless suggests moderate bearish sentiment surrounding the stock.

Call Options Insight

The $170.00 call contract, currently bid at $4.80, suggests that if investors pursue a covered call strategy, they could expect a 4.05% return if exercised. This option is at a premium of 1% over the current trading price, indicating a potential bearish sentiment if the contract expires worthless, which has a 51% chance of happening. The premiums offer significant potential yield boosts of 2.86% or 20.87% annualized if retained.

Volatility Factors

Implied volatilities for both put and call contracts are slightly higher than the historical volatility of 28%, a factor to consider for those wishing to understand the risk associated with trading these options. The difference could suggest that market participants expect near-term volatility in DLR’s share price, either from broader market conditions or company-specific events.

Stocks: DLR