Deep-pocketed investors have adopted a bearish approach towards Archer-Daniels Midland ADM, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in ADM usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 29 extraordinary options activities for Archer-Daniels Midland. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 34% leaning bullish and 65% bearish. Among these notable options, 20 are puts, totaling $5,010,701, and 9 are calls, amounting to $464,360.
Expected Price Movements
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $30.0 to $70.0 for Archer-Daniels Midland over the last 3 months.
Volume & Open Interest Development
Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in Archer-Daniels Midland's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to Archer-Daniels Midland's substantial trades, within a strike price spectrum from $30.0 to $70.0 over the preceding 30 days.
Archer-Daniels Midland Option Activity Analysis: Last 30 Days
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| ADM | PUT | TRADE | BULLISH | 02/02/24 | $69.00 | $3.0M | 2.1K | 2.0K |
| ADM | PUT | TRADE | BULLISH | 03/15/24 | $65.00 | $354.0K | 5.3K | 1.8K |
| ADM | PUT | TRADE | BULLISH | 03/15/24 | $65.00 | $345.0K | 5.3K | 1.5K |
| ADM | PUT | SWEEP | BULLISH | 03/15/24 | $65.00 | $220.0K | 5.3K | 1.0K |
| ADM | PUT | SWEEP | BEARISH | 03/15/24 | $65.00 | $169.5K | 5.3K | 813 |
About Archer-Daniels Midland
Archer-Daniels Midland is a major processor of oilseeds, corn, wheat, and other agricultural commodities. The company is also one of the largest grain merchandisers through its extensive network of logistical assets to store and transport crops around the globe. ADM also runs a nutrition business that focuses on both human and animal ingredients and is a large producer of corn-based sweeteners, starches, and ethanol.
Following our analysis of the options activities associated with Archer-Daniels Midland, we pivot to a closer look at the company's own performance.
Archer-Daniels Midland's Current Market Status
- Trading volume stands at 8,213,336, with ADM's price up by 0.02%, positioned at $52.32.
- RSI indicators show the stock to be may be oversold.
- Earnings announcement expected in 13 days.
What The Experts Say On Archer-Daniels Midland
A total of 5 professional analysts have given their take on this stock in the last 30 days, setting an average price target of $63.2.
- Consistent in their evaluation, an analyst from Goldman Sachs keeps a Neutral rating on Archer-Daniels Midland with a target price of $67.
- An analyst from Barclays downgraded its action to Underweight with a price target of $60.
- Reflecting concerns, an analyst from Stifel lowers its rating to Hold with a new price target of $56.
- An analyst from Goldman Sachs downgraded its action to Neutral with a price target of $67.
- An analyst from BMO Capital persists with their Market Perform rating on Archer-Daniels Midland, maintaining a target price of $66.
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 Archer-Daniels Midland options trades with real-time alerts from Benzinga Pro.
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