Someone with a lot of money to spend has taken a bullish stance on Spotify Technology (NYSE:SPOT).
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 SPOT, 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 24 uncommon options trades for Spotify Technology.
This isn't normal.
The overall sentiment of these big-money traders is split between 58% bullish and 41%, bearish.
Out of all of the special options we uncovered, 15 are puts, for a total amount of $1,013,659, and 9 are calls, for a total amount of $564,161.
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 $150.0 to $200.0 for Spotify Technology over the last 3 months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for Spotify Technology options trades today is 953.83 with a total volume of 12,283.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for Spotify Technology's big money trades within a strike price range of $150.0 to $200.0 over the last 30 days.
Spotify Technology 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 |
|---|---|---|---|---|---|---|---|---|
| SPOT | PUT | SWEEP | BULLISH | 03/04/22 | $175.00 | $152.5K | 21 | 122 |
| SPOT | PUT | TRADE | BULLISH | 03/04/22 | $175.00 | $123.7K | 21 | 122 |
| SPOT | PUT | SWEEP | BEARISH | 02/18/22 | $170.00 | $97.6K | 3.4K | 1.1K |
| SPOT | CALL | SWEEP | BULLISH | 02/18/22 | $175.00 | $97.6K | 265 | 1.2K |
| SPOT | PUT | SWEEP | BEARISH | 02/18/22 | $200.00 | $95.3K | 597 | 10 |
Where Is Spotify Technology Standing Right Now?
- With a volume of 1,407,749, the price of SPOT is down -1.39% at $172.0.
- RSI indicators hint that the underlying stock may be approaching oversold.
- Next earnings are expected to be released in 79 days.
What The Experts Say On Spotify Technology:
- Rosenblatt has decided to maintain their Buy rating on Spotify Technology, which currently sits at a price target of $220.
- Morgan Stanley has decided to maintain their Overweight rating on Spotify Technology, which currently sits at a price target of $300.
- Wells Fargo has decided to maintain their Underweight rating on Spotify Technology, which currently sits at a price target of $153.
- Barclays has decided to maintain their Overweight rating on Spotify Technology, which currently sits at a price target of $280.
- Monness, Crespi, Hardt has decided to maintain their Buy rating on Spotify Technology, which currently sits at a price target of $240.
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 are already an options trader or would like to get started, head on over to Benzinga Pro. Benzinga Pro gives you up-to-date news and analytics to empower your investing and trading strategy.
