Option update: Volatility up as AKAM trades near 16-month low into 3Q EPS

Akamai (NASDAQ: AKAM), offers services for accelerating content and business processes online, is recently up .58 to $29.33. AKAM announced EPS will be reported on 10/24. AKAM call option volume of 17,326 contracts compares to put volume of 4,140 contracts. AKAM October option implied volatility is at 50, November is at 58; above its 26-week average of 45 according to Track Data, suggesting larger price fluctuations.

SunPower (NASDAQ: SPWR) designs, develops, manufacturers, and sells solar electric power products, systems, and services. SPWR will report EPS on 10/18. Thomas Weisel Partners-TWPT downgraded SPWR to Makeweight from Overweight on 10/1. TWPT says "investors have been bidding up the shares of SPWR over the last several months on expectations that a Federal Energy Bill will be a boon for the domestic photovoltaic industry." SPWR October call option implied volatility is at 53; puts are at 57, above its 26-week average of 43 according to Track Data, suggesting larger risk.

Daily options Update is provided by Stock Specialist Paul Foster of theflyonthewall.com.