Johnson & Johnson location sign-by JHVEPhoto via iStock
Today, there has been unusually large put option activity in Johnson & Johnson (JNJ) following the stock’s recent rise. The puts are out of the money (OTM), implying that some investors believe JNJ could tank.
JNJ stock is up again today, over 3.0% to $268.29. Investors seem to be buying ahead of its upcoming earnings release next week on July 15, before the market opens.
More News from Barchart
JNJ stock – last 3 months – Barchart – July 7, 2026
After all, last quarter, the drug and medical device company produced strong earnings from its cancer drug sales. As the Wall Street Journal (WSJ) reported, this growth overcame a steep decline in sales of Stellara (for skin and digestive conditions).
The company’s cancer drug sales rose 22% in Q1, and investors may be hoping to see further developments like this in Q2.
For example, analysts are now projecting $25.05 billion in Q2 sales, vs. $23.74 billion last year, +5.5% higher. Any sales higher than $25 billion could be considered unexpected. That level seems too low, so investors have been pushing JNJ stock higher.
This could be why there is unusually heavy put options volume today. Investors may believe that this recent JNJ stock run-up has been overdone.
Unusual JNJ Put Options Volume
This can be seen in a Barchart report today. The Unusual Stock Options Activity Report shows that the $252.50 put strike price contracts have had 44 times the prior number of put contracts outstanding traded for the period ending July 17.
JNJ puts expiring July 17 – Barchart Unusual Stock Options Activity Report – July 7, 2026
Over 7,300 puts have traded at that strike price, which is well below today’s price, i.e., “out-of-the-money.” Moreover, the premium paid for these puts is between $1.64 and $1.98, or $1.86 at the latest.
That means that buyers expect JNJ will drop to below $250.64 (i.e., $252.50 – $1.86), before their purchase will have…
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