Is the Options Market Predicting a Spike in Safehold (SAFE) Stock?

Core Viewpoint - Investors in Safehold Inc. (SAFE) should closely monitor the stock due to significant movements in the options market, particularly the high implied volatility of the January 17, 2025 $17.50 Call option [1] Company Analysis - Safehold currently holds a Zacks Rank of 4 (Sell) within the REIT and Equity Trust – Residential industry, indicating a negative outlook [3] - Over the past 60 days, no analysts have raised their earnings estimates for the current quarter, while three analysts have lowered their estimates, resulting in a decrease of the Zacks Consensus Estimate from 38 cents per share to 37 cents [3] Options Market Insights - The high implied volatility surrounding Safehold shares suggests that options traders anticipate a significant price movement, which could indicate an upcoming event that may lead to a substantial rally or sell-off [2][4] - Options traders often seek to capitalize on high implied volatility by selling premium, aiming for the underlying stock to not move as much as expected by expiration [4]