Someone with a lot of money to spend has taken a bearish stance on Qualcomm QCOM.
And retail traders should know.
We noticed this today when the big position showed up on publicly available options history that we track here at Benzinga.
Whether this is an institution or just a wealthy individual, we don’t know. But when something this big happens with QCOM, it often means somebody knows something is about to happen.
So how do we know what this whale just did?
Today, Benzinga‘s options scanner spotted 15 uncommon options trades for Qualcomm.
This isn’t normal.
The overall sentiment of these big-money traders is split between 46% bullish and 53%, bearish.
Out of all of the special options we uncovered, 5 are puts, for a total amount of $268,642, and 10 are calls, for a total amount of $562,590.
What’s The Price Target?
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $100.0 to $160.0 for Qualcomm over the last 3 months.
Volume & Open Interest Development
Looking at the volume and open interest is an insightful way to conduct due diligence on a stock.
This data can help you track the liquidity and interest for Qualcomm’s options for a given strike price.
Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of Qualcomm’s whale activity within a strike price range from $100.0 to $160.0 in the last 30 days.
Qualcomm Option Volume And Open Interest Over Last 30 Days
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| QCOM | PUT | SWEEP | BEARISH | 06/16/23 | $135.00 | $144.6K | 1.2K | 12 |
| QCOM | CALL | TRADE | BULLISH | 01/19/24 | $150.00 | $124.0K | 4.4K | 202 |
| QCOM | CALL | TRADE | BULLISH | 01/19/24 | $150.00 | $121.0K | 4.4K | 100 |
| QCOM | CALL | SWEEP | BULLISH | 01/19/24 | $150.00 | $63.0K | 4.4K | 212 |
| QCOM | CALL | SWEEP | BULLISH | 12/16/22 | $100.00 | $52.6K | 1.1K | 20 |
Where Is Qualcomm Standing Right Now?
- With a volume of 1,666,884, the price of QCOM is up 2.36% at $126.56.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 70 days.
What The Experts Say On Qualcomm:
- Credit Suisse downgraded its action to Outperform with a price target of $150
- Morgan Stanley has decided to maintain their Overweight rating on Qualcomm, which currently sits at a price target of $126.
- Cowen & Co. has decided to maintain their Outperform rating on Qualcomm, which currently sits at a price target of $165.
- Canaccord Genuity has decided to maintain their Buy rating on Qualcomm, which currently sits at a price target of $165.
- Deutsche Bank has decided to maintain their Buy rating on Qualcomm, which currently sits at a price target of $150.
Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.
If you want to stay updated on the latest options trades for Qualcomm, Benzinga Pro gives you real-time options trades alerts.
Image and article originally from www.benzinga.com. Read the original article here.