Someone with a lot of money to spend has taken a bearish stance on Snap (NYSE:SNAP).
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 SNAP, it often means somebody knows something is about to happen.
Today, Benzinga's options scanner spotted 16 options trades for Snap.
This isn't normal.
The overall sentiment of these big-money traders is split between 31% bullish and 68%, bearish.
Out of all of the options we uncovered, there was 1 put, for a total amount of $50,715, and 15, calls, for a total amount of $871,748..
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 $9.0 to $18.0 for Snap over the last 3 months.
Volume & Open Interest Development
Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for Snap'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 Snap's whale trades within a strike price range from $9.0 to $18.0 in the last 30 days.
Snap 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 |
|---|---|---|---|---|---|---|---|---|
| SNAP | CALL | SWEEP | BEARISH | 03/17/23 | $14.00 | $150.0K | 2.4K | 2.0K |
| SNAP | CALL | SWEEP | BULLISH | 03/17/23 | $12.00 | $123.9K | 7.9K | 2.1K |
| SNAP | CALL | SWEEP | BEARISH | 03/17/23 | $14.00 | $77.5K | 2.4K | 4.0K |
| SNAP | CALL | SWEEP | BEARISH | 03/17/23 | $14.00 | $74.0K | 2.4K | 6.0K |
| SNAP | CALL | SWEEP | BEARISH | 03/17/23 | $14.00 | $60.7K | 2.4K | 4.9K |
Where Is Snap Standing Right Now?
- With a volume of 18,853,751, the price of SNAP is up 5.28% at $10.06.
- RSI indicators hint that the underlying stock may be approaching overbought.
- Next earnings are expected to be released in 84 days.
What The Experts Say On Snap:
- Bernstein downgraded its action to Market Perform with a price target of $9
- Goldman Sachs has decided to maintain their Neutral rating on Snap, which currently sits at a price target of $10.
- Deutsche Bank has decided to maintain their Hold rating on Snap, which currently sits at a price target of $9.
- Jefferies has decided to maintain their Buy rating on Snap, which currently sits at a price target of $12.
- Morgan Stanley has decided to maintain their Underweight rating on Snap, which currently sits at a price target of $7.
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 Snap, Benzinga Pro gives you real-time options trades alerts.
