ThetaOwl

NOW Earnings Report

Analysis based on market close April 6, 2026

Earnings Verdict

Earnings on 2026-04-22 (16 days out). IV elevated at 67.7% for 4/24, offering crush play. Historical beat rate 100% with average move 5.0% vs EM 12.0% — stock under-moves. Key risk: negative gamma regime amplifies gaps.

Confidence:
7 / 10
base 5; +2 GEX/flow strongly aligned
Most important: IV term structure kink at 4/24 (67.7% vs 52.9% pre) confirms earnings date; stock historically under-moves EM by 7%.
📅Earnings confirmed 2026-04-22 (16 days out), EM ±12.0%
📊Historical: 100% beat rate, 4/4 gap up, average move 5.0% vs EM 12.0%
⚠️Negative gamma regime (GEX -$8.3M) — moves accelerate below $100

Regime Classification

Vol Regime
High (IV 59.8%)
Gamma Regime
Trending (GEX -$8.3M)
Flow Regime
Bearish (net prem -$81.8M, P/C vol 1.54)
Spot vs MP
Below (spot $102.42 vs max pain $105)
Gamma flip: ~$100.00Below $100, dealers amplify moves; above, they dampen.

Earnings Overview

Next earnings: 2026-04-22 (16 days)explicit

Expected moves:

  • 4/24 (18d): ±$12.25 (12.0%)

IV Setup

Term structure: Sharp kink at 4/24 (67.7% vs 52.9% pre-earnings)

Crush estimate: ~15 vol pts, back to ~53%

Skew: Puts richer (P/C vol 1.54), but OI balanced (P/C OI 0.88).

Historical Context

Beat rate: 100% (4/4 quarters)

Avg move vs expected: Actual 5.0% vs EM 12.0% — under-moves by 7%

Directional bias: 4/4 gap up post-earnings

Key Levels

1$105 (max pain, GEX +$722K)
2$100 (gamma flip, GEX +$239K)
3$110 (max pain 4/17, GEX +$740K)
4EM: $90.17-$114.67

Flow Highlights

Heavy $178P 6/18 buying (1,107 vol vs 190 OI, 5.8x)

Tail hedge or bearish bet far OTM

$103C 4/10 unusual (560 vol vs 120 OI, 4.7x)

Near-term upside speculation

Strategies

Iron condor
Sell $90.17/$85P x $114.67/$120C 4/24
Credit: $2.50-$3.50
Max loss: $6.50
Max gain: $3.00
BE: $87.67
Trigger: Enter 3-5 days before earnings
Historical under-move (5.0% vs 12.0% EM) supports selling premium; strikes calibrated to EM guardrails.
Outperforms: Stock stays within EM bounds ($90.17-$114.67)
Underperforms: Gap exceeds EM by >$6
Long straddle
Buy $103 straddle 4/24
Max loss: $12.25
Max gain: Unlimited
BE: $90.75
Trigger: Enter if IV <70% and VIX stable
100% beat rate and directional bias suggest upside surprise; IV crush risk high.
Outperforms: Actual move exceeds EM by >30% (>15.9%)
Underperforms: Stock pins near $105, IV crushes to 53%
Put credit spread
Sell $95P / Buy $90P 4/24
Credit: $1.20-$1.80
Max loss: $3.80
Max gain: $1.50
BE: $93.80
Trigger: Enter 5 days out if spot >$100
Historical gap-up bias; put floor at $85-$90 provides buffer; high put skew offers premium.
Outperforms: Stock stays above $95
Underperforms: Breaks below $90.17 EM support

Risk Assessment

!Gap risk: 12.0% EM but historical under-move reduces probability; negative gamma amplifies moves below $100.
!IV crush of ~15 vol pts could erode long premium strategies if move is muted.
!Liquidity: 739,734 OI and 68,055 volume — moderate but sufficient for retail sizes.
!Sizing: Keep positions small due to elevated IV and gamma regime.

What to Watch

?IV trajectory into earnings — if >70%, favor credit spreads
?Spot vs $100 gamma flip for hedging pressure
?Unusual OTM put activity (e.g., $178P) for tail risk signals

Read the Earnings analysis for NOW for 2026-04-06. This AI-generated report covers regime classification, key price levels, strategy recommendations, and actionable trade ideas drawn from end-of-day options data including gamma exposure, delta exposure, and implied volatility.