3 'Magnificent 7' Stocks With Cheap Options Prices

All three stocks are sporting affordable options, too

Tim Cook’s Apple Inc (NASDAQ:AAPL) was last seen trading up 0.3% at $269.67, earlier surpassing the $4 trillion market cap level. In terms of the highest market caps, AAPL is preceded only by Microsoft Corp (NASDAQ:MSFT) and Nvidia Corp (NASDAQ:NVDA). As earnings approach, let’s take at look at how these ‘Magnificent 7’ powerhouses having been faring on the charts.

AAPL is charging higher, earlier tapping a fresh record of $269.89, with added support stemming from the 30-day moving average. Should today’s gains hold, the equity will be headed for a fourth-straight win and add to its now 7.4% year-to-date gain. This price action comes ahead of the company’s fiscal fourth quarter report, slated for after the bell on Thursday, Oct. 30.

Last seen up 2% at $542.52, MSFT is second on the list of most valuable companies. The stock is eyeing its eighth consecutive daily pop, which would be its longest win streak since early June. Trading within a chip-shot of its Aug.1 record highs, MSFT is up 27% year-over-year, with added backup from the ascending 80-day moving average. Microsoft is scheduled to report fiscal first-quarter earnings after the close tomorrow, Oct. 29.

Powerhouse NVDA is trading up 2% at $195.67, also headed for its fourth daily win, though sporting a modest 5% quarterly gain. The 80-day moving average has moved in as support, which also happens to be at the site of the $180 floor. Nvidia is expected to report earnings in late November.

Calls have been much more popular than usual over the last 10 weeks for all three stocks. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), AAPL’s 50-day call/put volume ratio of 2.46 ranks higher than 77% of readings from the past year, while MSFT’s and NVDA’s 50-day call/put volume ratios of 2.16 and 2.22 rank higher than 93% and 75% of annual readings, respectively. 

Options are looking affordable, too. AAPL, MSFT, and NVDA each sport a Schaeffer’s Volatility Index (SVI) that ranks in the 34th percentile of its annual range or lower.