Mega-Cap Tech Earnings Week: AMD, Google, Amazon Options Preview
The first week of February 2026 brings one of the most anticipated earnings stretches of the season. AMD reports February 3, followed by Alphabet (GOOGL) on February 4, and Amazon (AMZN) on February 5 - all after market close. For options traders, this concentration of mega-cap tech reports creates unique opportunities and risks.
The Earnings Calendar
| Company | Report Date | Time | Key Focus |
|---|---|---|---|
| AMD | Feb 3, 2026 | After Close | AI chip demand, data center growth |
| Alphabet (GOOGL) | Feb 4, 2026 | After Close | Search/AI integration, Cloud growth |
| Amazon (AMZN) | Feb 5, 2026 | After Close | AWS growth, retail margins, AI services |
AMD: The AI Chip Battleground
AMD has been a volatile earnings play as investors assess its AI chip positioning against NVIDIA. Key considerations:
- Historical Moves: AMD typically moves 5-10% on earnings, often exceeding expected moves
- IV Characteristics: Expect IV rank above 70 heading into the report
- The Trade: Wide iron condors or strangles can work, but be prepared for gap risk
AMD's correlation with NVDA sentiment means any NVIDIA news in the days before can impact AMD options pricing.
Alphabet: Search Meets AI
Google's earnings will be closely watched for signs of AI monetization and any impact from competition. Options considerations:
- Historical Moves: GOOGL typically moves 3-6% on earnings
- IV Characteristics: Generally lower IV rank than peers - around 50-60th percentile
- The Trade: Tighter spreads work well; GOOGL tends to respect expected moves
Watch for commentary on Gemini adoption and any advertising revenue trends that could signal broader market health.
Amazon: The Everything Store
Amazon reports last in the sequence, which means it will absorb sentiment from AMD and GOOGL. Key factors:
- Historical Moves: AMZN moves 4-8% on earnings typically
- IV Characteristics: AWS commentary drives most of the volatility
- The Trade: Consider the correlation - if AMD/GOOGL disappoint on AI, AMZN may get sympathy selling
Portfolio Considerations
Trading all three carries correlated risk. Strategies to manage this:
Diversified Approach
- If bullish on tech: Ladder into positions across all three rather than concentrating
- If selling premium: Spread your risk across different underlyings
- Consider QQQ options as a basket approach with lower single-stock risk
Sequencing Strategy
Since reports are on consecutive days:
- AMD sets the tone - watch for sympathy moves in GOOGL/AMZN
- Consider waiting for AMD results before sizing GOOGL positions
- AMZN is last and most information-rich - may offer best risk/reward
Volatility Term Structure
With three major reports in one week, expect unusual term structure dynamics:
- Weekly options will show extreme IV heading into the week
- Calendar spreads across the earnings week can capture the IV differential
- Post-AMZN Friday expiration may see significant IV crush
Risk Management
With concentrated mega-cap exposure:
- Position Size: Reduce individual position sizes when trading multiple correlated names
- Define Risk: Use spreads to cap maximum loss per position
- Correlation Risk: A broad tech selloff could hit all positions simultaneously
- Gap Risk: After-hours moves can be significant - factor this into strategy selection
The Bottom Line
This tech earnings week offers multiple opportunities but requires careful risk management. Whether you're selling premium on elevated IV or taking directional bets, the key is appropriate position sizing and respecting the correlated nature of these mega-cap tech names. Consider your total portfolio exposure before diving into all three.
Options trading involves significant risk. This content is for educational purposes only.