Someone with a lot of money to spend has taken a bearish stance on American Express (NYSE:AXP).
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 AXP, 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 13 uncommon options trades for American Express.
This isn't normal.
The overall sentiment of these big-money traders is split between 38% bullish and 61%, bearish.
Out of all of the special options we uncovered, 4 are puts, for a total amount of $195,849, and 9 are calls, for a total amount of $417,094.
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 $130.0 to $160.0 for American Express over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for American Express options trades today is 725.0 with a total volume of 4,465.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for American Express's big money trades within a strike price range of $130.0 to $160.0 over the last 30 days.
American Express 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 |
|---|---|---|---|---|---|---|---|---|
| AXP | CALL | TRADE | NEUTRAL | 08/19/22 | $155.00 | $115.5K | 769 | 1.1K |
| AXP | PUT | SWEEP | BEARISH | 07/29/22 | $147.00 | $70.6K | 714 | 657 |
| AXP | PUT | TRADE | BULLISH | 10/21/22 | $140.00 | $64.9K | 539 | 116 |
| AXP | CALL | SWEEP | BEARISH | 08/19/22 | $155.00 | $58.4K | 769 | 265 |
| AXP | CALL | TRADE | BEARISH | 01/19/24 | $130.00 | $53.2K | 100 | 15 |
Where Is American Express Standing Right Now?
- With a volume of 3,824,839, the price of AXP is up 0.83% at $151.07.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 86 days.
What The Experts Say On American Express:
- BMO Capital has decided to maintain their Market Perform rating on American Express, which currently sits at a price target of $169.
- Wells Fargo has decided to maintain their Overweight rating on American Express, which currently sits at a price target of $190.
- Piper Sandler has decided to maintain their Overweight rating on American Express, which currently sits at a price target of $163.
- RBC Capital has decided to maintain their Sector Perform rating on American Express, which currently sits at a price target of $180.
- Morgan Stanley downgraded its action to Equal-Weight with a price target of $143
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 American Express, Benzinga Pro gives you real-time options trades alerts.
