NFLX Options Signal $100 Call Battle: Bearish Setup with $90 Put Hedge as Warner Bros. Drama Unfolds

• Options data shows heavy call open interest at $100 and put OI at $90 ahead of Friday’s expiry
• RSI at 27.09 and MACD divergence hint at short-term bearish momentum
• Warner Bros. acquisition rumors and analyst price targets clash with bearish options positioning

Here’s the thing: NFLX is caught in a tug-of-war between bulls eyeing a $134 price target and bears hedging at $90. The options market isn’t just reacting to the stock’s 0.6% drop—it’s pricing in a high-stakes drama between Netflix’s aggressive M&A push and its fundamentals. Let’s break down what traders should watch.

Bearish OI at $100 Calls vs. $90 Puts: A Battle for NFLX’s Direction

The options chain tells a story of divided expectations. For this Friday’s expiry, the NFLX20251219C100 call has 30,421 open contracts—nearly 10% of all call OI. That’s not just noise; it’s a bet that NFLX could rally 6% from current levels. But the NFLX20251219P90 put has 14,257 open contracts, suggesting institutional players are hedging a 6.5% drop. The 1.0036 put/call ratio for total open interest? A near-perfect tie, but the concentration at $100 and $90 strikes shows where the action is.

What does this mean for you? If NFLX closes below $94.79 (previous close) tomorrow, the $90 puts could act as a safety net. But if it breaks above $95.81 (intraday high), the $100 calls might force a short-term rebound. The risk? A gap down if the Warner Bros. deal falls apart—something the $90 puts are already pricing in.

Warner Bros. Drama Validates Options Sentiment: Why $100 is the Make-or-Break Level

The news flow is a mixed bag. Jefferies’ $134 price target is bullish, but Jim Cramer’s “unnecessary deal” critique and Paramount’s faltering $108B bid add uncertainty. Here’s the kicker: Netflix’s 35.5% EPS growth and 29.1% operating margin (per Guru Fundamental Report) justify optimism. But the $100B bid for Warner Bros. is a double-edged sword—it could expand content libraries or drain cash reserves.

Investor perception is key. If the market views the deal as a strategic win, the $100 calls might ignite. If it’s seen as a cash-burning gamble, the $90 puts could dominate. Either way, the $100 strike is the psychological battleground. That’s where Jefferies’ $134 target starts to matter—and where Cramer’s bearish take could clash with reality.

NFLX Trade Ideas: Short Strangle at $100 Call and $90 Put with 20251219 Expiry

If you’re bullish on volatility but cautious on direction, consider a short strangle using the NFLX20251219C100 and NFLX20251219P90. With NFLX trading at $94.21, both strikes are OTM, giving you a buffer. Maximum profit occurs if NFLX stays between $90 and $100 by Friday. The risk? A sharp move outside this range—say, a $90 drop or a $100 breakout. But given the RSI at 27.09 and MACD bearish divergence, the downside seems more likely.

For stock traders: Consider entry near $93.95 (intraday low) if support holds, with a target at $90.71 (lower Bollinger Band). A stop-loss above $95.81 would protect against a short-term rebound. Alternatively, if NFLX breaks $95.81, go long with a target at $97.50 (middle Bollinger Band) and a tight stop at $94.79.

Volatility on the Horizon: NFLX at a Crossroads Between Growth and Acquisition Risk

The next 48 hours will test NFLX’s resolve. A $100 call breakout could validate Jefferies’ bullish thesis, while a $90 put move might signal a retreat. Either way, the $100 strike is the linchpin. Traders should monitor the Warner Bros. board’s final decision and Netflix’s cash flow statements—those will determine if this is a short-term volatility play or a long-term growth story. For now, the options market is hedging both outcomes. Which side you pick? That’s up to you—but the data says: don’t ignore $90 and $100.