Deep-pocketed investors have adopted a bearish approach towards ServiceNow NOW, 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 NOW usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 15 extraordinary options activities for ServiceNow. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 26% leaning bullish and 73% bearish. Among these notable options, 2 are puts, totaling $91,850, and 13 are calls, amounting to $475,034.
Predicted Price Range
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $540.0 to $860.0 for ServiceNow over the last 3 months.
Volume & Open Interest Trends
In today's trading context, the average open interest for options of ServiceNow stands at 116.73, with a total volume reaching 3,257.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in ServiceNow, situated within the strike price corridor from $540.0 to $860.0, throughout the last 30 days.
ServiceNow 30-Day Option Volume & Interest Snapshot
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|
| NOW | PUT | TRADE | BEARISH | 01/17/25 | $860.00 | $62.9K | 16 | 5 |
| NOW | CALL | TRADE | NEUTRAL | 05/17/24 | $790.00 | $49.6K | 65 | 10 |
| NOW | CALL | TRADE | NEUTRAL | 02/16/24 | $540.00 | $47.0K | 51 | 6 |
| NOW | CALL | TRADE | NEUTRAL | 05/17/24 | $550.00 | $46.8K | 30 | 6 |
| NOW | CALL | SWEEP | BULLISH | 02/09/24 | $800.00 | $42.3K | 208 | 980 |
About ServiceNow
ServiceNow Inc provides software solutions to structure and automate various business processes via a SaaS delivery model. The company primarily focuses on the IT function for enterprise customers. ServiceNow began with IT service management, expanded within the IT function, and more recently directed its workflow automation logic to functional areas beyond IT, notably customer service, HR service delivery, and security operations. ServiceNow also offers an application development platform as a service.
Current Position of ServiceNow
- With a trading volume of 379,644, the price of NOW is up by 0.03%, reaching $781.5.
- Current RSI values indicate that the stock is may be overbought.
- Next earnings report is scheduled for 79 days from now.
What The Experts Say On ServiceNow
In the last month, 5 experts released ratings on this stock with an average target price of $839.0.
- Reflecting concerns, an analyst from Needham lowers its rating to Buy with a new price target of $900.
- An analyst from Truist Securities persists with their Hold rating on ServiceNow, maintaining a target price of $750.
- Maintaining their stance, an analyst from JMP Securities continues to hold a Market Outperform rating for ServiceNow, targeting a price of $825.
- An analyst from BMO Capital has decided to maintain their Outperform rating on ServiceNow, which currently sits at a price target of $850.
- An analyst from Baird has decided to maintain their Outperform rating on ServiceNow, which currently sits at a price target of $870.
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 ServiceNow options trades with real-time alerts from Benzinga Pro.
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