High-rolling investors have positioned themselves bearish on McDonald's MCD, and it's important for retail traders to take note. \This activity came to our attention today through Benzinga's tracking of publicly available options data. The identities of these investors are uncertain, but such a significant move in MCD often signals that someone has privileged information.
Today, Benzinga's options scanner spotted 11 options trades for McDonald's. This is not a typical pattern.
The sentiment among these major traders is split, with 45% bullish and 54% bearish. Among all the options we identified, there was one put, amounting to $51,350, and 10 calls, totaling $537,248.
Expected Price Movements
Based on the trading activity, it appears that the significant investors are aiming for a price territory stretching from $230.0 to $305.0 for McDonald's over the recent three months.
Volume & Open Interest Development
In terms of liquidity and interest, the mean open interest for McDonald's options trades today is 667.62 with a total volume of 703.00.
In the following chart, we are able to follow the development of volume and open interest of call and put options for McDonald's's big money trades within a strike price range of $230.0 to $305.0 over the last 30 days.
McDonald's 30-Day Option Volume & Interest Snapshot
Biggest Options Spotted:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| MCD | CALL | SWEEP | BEARISH | 01/19/24 | $230.00 | $133.9K | 154 | 0 |
| MCD | CALL | TRADE | BULLISH | 03/15/24 | $270.00 | $113.8K | 1.2K | 43 |
| MCD | PUT | TRADE | BEARISH | 01/17/25 | $305.00 | $51.3K | 71 | 38 |
| MCD | CALL | TRADE | BULLISH | 03/15/24 | $270.00 | $48.2K | 1.2K | 75 |
| MCD | CALL | SWEEP | BULLISH | 03/15/24 | $270.00 | $44.8K | 1.2K | 94 |
About McDonald's
McDonald's is the largest restaurant owner-operator in the world, with 2022 system sales of $116 billion across more than 40,000 stores and 115 markets. McDonald's pioneered the franchise model, building its footprint through partnerships with independent restaurant franchisees and master franchise partners around the globe. The firm earns roughly 60% of its revenue from franchise royalty fees and lease payments, with most of the remainder coming from company-operated stores across its three core segments: the United States, internationally operated markets, and international developmental/licensed markets.
Following our analysis of the options activities associated with McDonald's, we pivot to a closer look at the company's own performance.
Present Market Standing of McDonald's
- With a trading volume of 1,236,384, the price of MCD is up by 1.24%, reaching $298.0.
- Current RSI values indicate that the stock is may be approaching overbought.
- Next earnings report is scheduled for 17 days from now.
Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest McDonald's options trades with real-time alerts from Benzinga Pro.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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